Ukraine receives €4.2 billion tranche from EU under Ukraine Facility program
Prime Minister of Ukraine Denys Shmyhal (Vitalii Nosach, RBC-Ukraine)
Ukraine has received a tranche of €4.2 billion from the European Union under the Ukraine Facility program for a total of €50 billion, according to Prime Minister Denys Shmyhal.
These funds will be used for social programs, humanitarian aid, and other important budget programs.
“We continue to finance military expenditures exclusively from our own resources,” he said.
According to the Ministry of Finance, the tranche consists of concessional financing - €2.7 billion and a grant - €1.5 billion.
Shmyhal reminded that since the beginning of the year, the EU has already provided Ukraine with more than €12 billion in budget support.
“We continue to implement reforms that are important for our sustainability, development, and future. Our European partners support these efforts. We expect to receive another aid tranche by the end of the year,” he added.
Ukraine Facility program
In February 2024, the European Parliament approved the regulations of the Ukraine Facility program. The EU's €50 billion support program for Ukraine will run from 2024 to 2027. In June, Ukraine and the European Union signed a loan agreement under the Ukraine Facility.
On July 17, the European Commission approved a €4.2 billion tranche under the Ukraine Facility.
Financing state budget deficit
Ukraine is counting on international budgetary assistance of $38 billion in 2024. After receiving the latest tranche from the EU, the amount of aid has already reached $20.6 billion.
According to the National Bank forecast, next year's budget support for Ukraine will be reduced to $31 billion. Kyiv is also counting on funds from frozen Russian assets.
