The European Commission today disbursed the first half (€500 million) of a new €1 billion macro-financial assistance (MFA) operation for Ukraine. The second tranche (another €500 million) will be disbursed tomorrow, 2 August.
This additional assistance of €1 billion is part of the extraordinary effort by the EU, alongside the international community, to help Ukraine address its immediate financial needs following the unprovoked and unjustified aggression by Russia. It is the first part of the exceptional MFA package of up to €9 billion announced in the Commission’s communication of 18 May 2022 and endorsed by the European Council of 23-24 June 2022. It complements the support already provided by the EU, including a €1.2 billion emergency MFA loan paid out in the first half of the year. Taken together, the two strands of the programme bring the total MFA support to Ukraine since the beginning of the war to €2.2 billion.
The funds have been made available to Ukraine in the form of long-term loans on favourable terms. The assistance supports Ukraine’s macroeconomic stability and overall resilience in the context of Russia’s military aggression and the ensuing economic challenges. In a further expression of solidarity, the EU budget will cover the interest costs on this loan.
This financial assistance comes in addition to the unprecedented support provided by the EU to date, notably humanitarian, development and defence assistance, the suspension of all import duties on Ukrainian exports for one year or other solidarity initiatives, e.g. to address transport bottlenecks so that exports, in particular of grains, could be ensured.
Valdis Dombrovskis, the European Commission’s Executive Vice-President for An Economy that Works for People said: “This €1 billion payment is a first part of our €9 billion macro-financial assistance package to help Ukraine meet its emergency financial needs caused by Russia’s brutal war. At the same time, we are working closely with EU Member States and our international partners on the next steps to rebuild Ukraine for the longer term. The EU will provide all political, financial, military and humanitarian support required to assist Ukraine and its people in the face of Russia’s continued illegal aggression – for as long as it takes.”
Крім фінансування, ЄС забезпечує Україну гуманітарною допомогою, підтримує оборонний і торгівельний сектори, а також допомагає країні експортувати зерно.
Find out more here.
News
-
Seven key border crossing points in Ukraine equipped with uninterruptible power supply systems thanks to EU project
-
With EU support, Ukrzaliznytsia opens modernised train inspection point on the border with Poland at Mostyska II station
-
European Commission disburses first €3 billion of its part of G7 loan to Ukraine
-
EU announces €148 million humanitarian aid package for Ukraine
-
EU-funded reconstruction of Russian-destroyed kindergarten starts in Makariv, Ukraine
-
EIB provides €4.7 million for waste management improvements at Lviv’s Hrybovychi landfill