Ukraine on Tuesday received another EUR2.5 billion tranche under the current EU macro-financial assistance (MFF) program, the Finance Ministry said on its website.
“We are sincerely grateful to the EU for the financial support provided to Ukraine. The funds received will significantly help to ensure urgent state budget expenditures and maintain economic stability in the state,” the ministry quoted Minister Serhiy Marchenko as saying.
The total amount of the EU macrofinancial assistance to Ukraine has reached EUR6.7 billion since February 24, the Ministry of Finance said.
It is assumed that Ukraine will receive the last tranche within the framework of the eighth program of macrofinancial assistance by the end of this year, the ministry noted.
As earlier reported, in late May-early June this year, the EU pre-approved a new emergency macrofinancial assistance to Ukraine for EUR 9 billion, of which EUR 1 billion was allocated in early August. The rest EUR 8 billion was expected to come in one tranche, but the final decision was delayed. One of the reasons for that was a discussion of whether to provide the money in the form of loans or grants.
As a result, only EUR2 billion arrived in the middle of October, and the vice-president of the European Commission Valdis Dombrovskis said that the third tranche of EUR3 billion was expected in early December. Later he specified that EUR2,5 billion will arrive in the end of November and EUR0,5 billion – in the beginning of December, while the remaining EUR3 billion of the initial EUR9 billion is included in the new program of financial aid to Ukraine in 2023 for the total amount of EUR18 billion.
In all cases, we are talking about credit funds, but allocated on concessional terms.
President of Ukraine Volodymyr Zelensky has welcomed the decision of the International Monetary Fund (IMF) to provide Ukraine with a $1.3 billion tranche.
“The Executive Board of the IMF has just supported the provision of about $1.3 billion to Ukraine under the Rapid Financing Instrument. The money will go to Ukraine today. Thanks Kristalina Georgieva and the IMF Executive Board for the support!” he said on Twitter on Friday.
In turn, Ukrainian Prime Minister Denys Shmyhal also said that the IMF will provide Ukraine with additional $1.3 billion.
“This means that the financing from the Fund since the beginning of the war will total $2.7 billion. The tranche will be directed at the support for our defense capacity, payment of pensions and social programs, as well as our economic resilience,” he said on the Telegram channel.
Ukraine’s international partners have provided it with around $20 billion since the beginning of the full-scale war. Thanks to this assistance “we understand how we can finance all necessary expenditures this year,” the PM said.
“We are expecting a new large IMF program next year, as well as financing from the U.S., the EU and other G7 Member States,” Shmyhal said.
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 member states of the European Union have agreed to mobilize the fifth tranche of military assistance in the amount of EUR 500 million in support of the Armed Forces of Ukraine, said head of EU diplomacy Josep Borrell.
“Participated at Ministerial Ukraine Defence Contact Group meeting. EU Member States agreed to mobilise 5th tranche of military assistance of EUR 500 million to further support Ukraine‘s Armed Forces. EU remains focused & steadfast in its support for Ukraine, together w partners,” Borrell said on Twitter Wednesday evening.
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.
The European Union has taken the decisions necessary to provide Ukraine with the second tranche of macro-financial assistance in the amount of EUR 600 million, which Kyiv will receive on May 20.
This was announced on Thursday in Brussels by representative of the European Commission Dana Spinant.
Yesterday, the decision was made to allocate the second part of the urgent macro-financial assistance program for Ukraine and to borrow funds from the capital market. This second part in the amount of EUR 600 million and the allocation of this amount is expected by May 20, she said.
