The European Commission transferred another tranche of 1.5 billion euros of macro-financial assistance to Ukraine. In total, in 2023, Kyiv will receive 18 billion euros in the form of long-term soft loans.
This was announced by the head of the European Commission Ursula von der Leyen on Twitter.
"I strongly condemn Russia's strikes on Ukrainian grain warehouses and export infrastructure. While Russia continues its merciless war, we continue to support Ukraine. Today we paid another 1.5 billion euros to help staff work and repair infrastructure. Will do more," she wrote.
Funds for the budget of Ukraine
The Ministry of Finance of Ukraine reported that the state budget received the sixth tranche in the amount of 1.5 billion euros. In 2023, Ukraine has already received 10.5 billion euros of macro-financial assistance from the EU.
According to the ministry, since the beginning of the full-scale war, the EU has directed 17.7 billion euros of macro-financial assistance to Ukraine.
The funds are provided on preferential terms for Ukraine and are directed to the financing of priority expenditures of the state budget. The loan repayment period is 35 years. At the same time, interest and other payments for debt service will be compensated by EU countries instead of Ukraine.
"The next tranches within the framework of the large-scale MFD program will go to the state budget during 2023, taking into account Ukraine's fulfillment of the conditions agreed by the parties," the Ministry of Finance reported.
Macro-financial assistance
To date, the EU and its member states have provided Ukraine with over 77 billion euros. In 2023, the EU will provide Ukraine with 18 billion euros of macro-financial assistance. To date, EUR 9 billion has been paid out of this amount.
In addition, the European Commission proposed to create a new tool for Ukraine within the budget of the European Union, which includes grants, loans and guarantees to cover part of Ukraine's current expenses and to finance urgent reconstruction projects. It will provide permanent financial support until 2027 and cover 45% of the deficit of the state budget of Ukraine for this period. It is planned to create a Ukrainian fund with a volume of 50 billion euros.
