The European Union's Ukraine Facility program provided the state budget with a €1.9 billion tranche.
Points of attention
- The Ukraine Facility program, with a volume of €50 billion, will operate from 2024 to 2027 and provide for the implementation of 151 indicators from 69 reform directions.
- Ukraine plans to receive significant amounts of funding from the European Union and the IMF in the coming years.
- According to the Ministry of Finance, Ukraine has received about $11.8 billion in international funding since the beginning of 2024, the largest amount of which was allocated by the EU.
What is known about the new tranche to Ukraine from the EU
As noted, the European Union allocated Ukraine the third tranche of macro-financial assistance for 1.9 billion euros from a large package of €50 billion within the framework of the Ukraine Facility program.
Today, the EU disbursed another €1.9 bln from the #UkraineFacility. Huge thanks to @vonderleyen and whole her team for unwavering support. Total budget support from the EU since the beginning of this year has reached nearly €8 bln, with more to come. Grateful for your…
— Denys Shmyhal (@Denys_Shmyhal) June 27, 2024
As Ukraine's Minister of Finance, Serhiy Marchenko, noted, the EU is a crucial partner of Ukraine, which continues to play a decisive role in accelerating victory and strengthening the country's economic stability.
According to him, since the beginning of the full-scale war, the EU has provided Ukraine with almost 35 billion euros in direct budget aid.
These funds contributed to the maintenance of macroeconomic stability, and also allow financing of priority budgetary needs, — Finance Minister Marchenko added.
What is known about the Ukraine Facility?
The European Parliament approved the regulations of the Ukraine Facility program in February 2024. The € 50 billion EU support program for Ukraine € will be valid from 2024 to 2027.
Ukraine already received €6 billion of financial support in March and April this year for the implementation of 5 indicators of the first quarter. In the second quarter, it is necessary to fulfill 9 indicators, which will allow receiving €4.1 billion in September 2024.
The Ukraine Facility plan includes 151 indicators from 69 reform directions, the implementation of which is planned until 2027.
According to the Ministry of Finance, as of June 20, Ukraine has received about $11.8 billion in international financing since the beginning of 2024. The EU provided the most—$6.5 billion. The IMF is expected to disburse $2.2 billion at the end of June.
According to the estimated payment plan, Ukraine will receive €16 billion in 2024, €12.5 billion in 2025, €7.25 billion in 2026, and €2.5 billion in 2027.
