Ukraine will receive an additional €3 billion in financial aid from the EU
On September 24, the Council of the European Union approved the eighth tranche of financial assistance to Ukraine under the Ukraine Facility initiative. The total amount of the new aid package is €3 billion.
EU officials emphasize that approximately €800 million of this amount will be provided for the first time in the form of a loan to support Ukraine.
In addition, it is noted that this decision by the EU Council is evidence of Ukraine’s successful implementation of a number of important requirements.
“As of today, Ukraine has implemented 84 of the 95 target measures set out in the Plan, which represents approximately 88% of the measures planned for this period,” the European authorities noted.
The allocated funds will be used to:
strengthening Ukraine’s macrofinancial stability;
the country’s recovery and modernization;
ensuring the functioning of public administration;
supporting Ukraine’s reform efforts.
Furthermore, on the same day, the Council of the EU also amended the “Ukraine Plan.” This time, it included a voluntary financial contribution from Norway amounting to approximately 92 million euros. It is important to note that this is non-repayable aid.
This was reported with reference to a statement from the EU Council.
The EU has tied additional financial aid to Ukraine to reforms, according to Bloomberg.
Ukraine could lose a significant portion of the projected $29.5 billion in international funding if lawmakers fail to pass the necessary bills by the specified deadlines. Prime Minister Serhiy Koretsky has set deadlines for votes in the Verkhovna Rada, and further financial assistance from partners depends on meeting these deadlines.
Ukraine received a list of reforms from the EU in response to its request for funds.
Ukraine will soon receive $841 million in budget support from the World Bank. The funds will be used to cover state budget expenditures related to pension payments, and the Canadian government will provide financing guarantees.
