Canada will again provide macro-financial assistance to Ukraine in fiscal year 2024, Prime Minister Justin Trudeau said on Friday in Ottawa after talks with Ukrainian President Volodymyr Zelenskyy.
“We have confirmed that Canada will make a financial contribution to the consortia created by the leader of the United Kingdom to provide military equipment to Ukraine. To ensure that the government has the necessary resources to provide services to its people…today I confirm that we will again provide significant macroeconomic assistance to Ukraine in fiscal year 2024,” he said.
According to him, Canada is “changing its approach,” and now we will provide our assistance for several years, so that Ukraine knows and can receive support on a bilateral basis.
“We are helping farmers whose activities were interrupted by Russia’s actions. We will also provide assistance to the Holodomor Museum in Ukraine, and we will help all Ukrainians to promote mental health,” he said.
He noted that “the new assistance that has been announced builds on the base of almost $9 billion that we have committed to provide and help Ukraine.”
Ukraine welcomes the approval by the European Parliament of a new macro-financial assistance in the amount of EUR 18 billion for 2023 and is waiting for the Council of the European Union to make the final decision soon, implement all necessary procedures and prepare relevant documents, Finance Minister of Ukraine Serhiy Marchenko has said.
“We are expecting to receive the first tranche of EUR 3 billion in January,” he said on air of the national telethon on Wednesday.
The minister also said that it is about a long-term loan for a period of more than 20 years at an interest rate of around 3-4% within a level of risk of the European Commission.
President of Ukraine Volodymyr Zelensky called on EU leaders to provide the remaining EUR6 billion of macro-financial assistance by the end of the year, a decision in principle on which was made in late May – early June.
“Thank you for the funds that have already been received, but a decision has not yet been made regarding the remaining 6 billion from this package, which are critically needed this year. And it is in your power to come to an agreement in principle today on providing this assistance to our state” , the President said, speaking on Thursday by video link to members of the European Council.
He also spoke about the need for more support for the implementation of the Ukrainian Fast Recovery Plan.
“You have all this data – what exactly we need. We already have an understanding of the necessary funds. This is 3.5 billion euros this year and about 14 billion euros next year,” Zelensky said.
“And so far we have received zero from these funds. And they are vital. As well as the next tranches of Macrofin for Ukraine are vital,” the head of state stressed.
As reported, in late May-early June, the EU tentatively approved the allocation of new emergency macrofinancial assistance to Ukraine for EUR9 billion, of which EUR1 billion was allocated in early August. The remaining EUR8 billion was expected to come in one tranche, but the final decision on them was delayed. One of the reasons cited is the debate over how these funds should be provided: in the form of loans or grants.
As a result, only EUR2 billion was received this week, while the Vice-President of the European Commission Valdis Dombrovskis said that the third tranche of EUR3 billion is expected in early December.
The European Union has fully provided Ukraine with the first tranche in the amount of EUR1 billion of new emergency new macro-financial assistance, said the head of the European Commission, Ursula von der Leyen.
“These funds will help Ukraine meet its urgent financial needs in the wake of unprovoked and unjustified Russian aggression. The €1 billion will strengthen Ukraine at a critical juncture,” she wrote on Linkedin on Tuesday.
On the eve of the receipt of the first EUR500 million from this tranche in Ukraine, Prime Minister Denys Shmygal announced, adding that the second EUR500 million is expected on Tuesday, August 2.
As reported, the EU has previously approved the allocation of new emergency macrofinancial assistance to Ukraine for EUR9 billion, of which EUR1 billion has been allocated so far. The remaining EUR8 billion is expected to come in one tranche, but the final decision on them is being delayed.
President of Ukraine Volodymyr Zelensky on the eve appealed to French President Emmanuel Macron with a request to unblock macrofinancial assistance from the European Union.
The European Commission has sent Ukraine the second tranche of macro-financial assistance in the amount of EUR600 million under the emergency assistance program, said EC President Ursula von der Leyen.
“Today we paid Ukraine a new tranche of macro-financial assistance in the amount of EUR600 million,” she wrote on Twitter on Friday.
“We have also offered an additional loan of EUR9 billion for Ukraine in 2022,” added von der Läen.
She also noted that the EU will work on a platform for the renewal of Ukraine.
The EU Council was reported to have expeditiously approved a € 1.2 billion macro-financial assistance package in February this year, with two disbursements of the first tranche of € 300 million in March.
President of the European Commission Ursula von der Leyen announces her intention to allocate new macro-financial assistance to Ukraine in 2022 in the amount of up to 9 billion euros.
“We offer Ukraine a new exceptional macro-financial assistance of up to 9 billion euros in 2022,” she said on Wednesday in Brussels.
According to the president of the European Commission, these funds will be allocated for the short term for “existing needs, to support the government, the state budget.”
