The money will help those who fled the conflict areas to neighbouring countries and address the basic needs of people on the contact line [the area between government controlled land and non-government controlled land].
Commissioner for humanitarian aid and crisis management Christos Stylianides said: “Four years of conflict have put a tremendous stain on the civilian population in eastern Ukraine.
“We cannot overlook that there’s a humanitarian crisis at the European Union’s doorstep. Supporting all those in need, wherever they are, is a priority for the EU.
“Our new aid package will provide essential assistance such as food, healthcare and education for children.”
The EU is the biggest donor of humanitarian aid, early recovery and development assistance to Ukraine.
With this announcement, the bloc has provided over €677m since the beginning of the conflict in 2014.
The funding comes as the Commission and the United Nations organised a conference earlier this week to raise awareness about the humanitarian consequences of the conflict in eastern Ukraine.
War broke out in Donbass, a region in eastern Ukraine, in April 2014 after pro-Russian activists seized control of government buildings. Despite a ceasefire agreement, fighting has not fully stopped.