EU approves €4.2b aid package for Ukraine

Ukraine is set to receive nearly €4.2 billion ($4.6 billion) in grants and loans following the EU Council’s approval of the first regular payment under the Ukraine Facility. This financial support aims to bolster Ukraine’s macro-financial stability and support its public administration.

The Council’s decision comes after determining that Ukraine has met the necessary conditions and reforms outlined in the Ukraine Plan, which include improvements in public financial management, governance of state-owned enterprises, the business environment, energy, and demining.

The Council emphasised the urgent need for disbursing these funds due to Ukraine’s challenging fiscal situation.

The Ukraine Plan details the country’s recovery, reconstruction, and modernisation efforts, as well as the reforms needed for its EU accession process over the next four years.

In May 2024, the Council agreed that the Ukraine Plan met the prerequisites for receiving up to €50 billion in support through the Ukraine Facility.

Attribution: Council of the European Union