Ukraine to receive €4.2 bln: EU Council approves emergency tranche
Photo: Ukraine will receive €4.2 billion from the EU (Getty Images)
The EU Council announced that Ukraine will soon receive over EUR 4.2 billion in funding. The EU Council has given the green light to the second tranche of grants and loans under the EU Program for Ukraine, which aims to support Ukraine's macro-financial stability and the functioning of its public administration.
“the Council concluded that Ukraine had satisfied the necessary conditions and reforms envisaged in the Ukraine Plan for receiving the funds, which will be disbursed from the Ukraine Facility,” the statement said.
The Council also emphasized the importance of disbursing the money as soon as possible, given Ukraine's difficult fiscal situation.
The Ukraine Action Plan sets out Ukraine's intentions to restore, reconstruct, and modernize the country and the reforms it plans to implement over the next four years as part of the EU accession process.
In May 2024, the Council concluded that the pre-conditions for Ukraine to receive up to EUR 50 billion in support under the Ukraine Facility had been met, and in August, the first tranche of the EU's EUR 4.2 billion was disbursed.
Ukraine Facility program
The European Parliament approved the regulations of the Ukraine Facility program in February 2024. The EU's €50 billion support program for Ukraine will run from 2024 to 2027.
Of this amount, up to €32 billion has been earmarked to support the reforms and investments outlined in the Ukraine Plan, under which disbursements will be conditional on achieving specific benchmarks. The Ukraine Fund has already disbursed €6 billion in bridge financing, €1.89 billion in pre-financing and a first installment of almost €4.2 billion, including €1.5 billion in non-repayable financial support and over €2.6 billion in loans.
Since the beginning of the year, the EU has already provided Ukraine with more than €12 billion in budget support. By the end of the year, Ukraine plans to receive another EUR 4.2 billion from the EU under the Ukraine Facility.
