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EU approves disbursement of €500 million in macro-financial assistance to Ukraine  

03/06/2020 | Economia |  Daily News 29 / 05 / 2020

Source: European Commission Spokesperson's Service  


The European Commission, on behalf of the EU, has approved the disbursement of a €500 million loan to Ukraine as part of its fourth macro-financial assistance (MFA) programme. With this disbursement, the EU has now provided Ukraine with €3.8 billion in MFA loans since 2014. This is the largest amount of MFA the EUhas disbursed to any single partner country. The disbursement of the second and last tranche of the MFA operation has become possible after Ukraine has implemented twelve policy actions agreed with the EU. They included important measures in the fields of fight against corruption and money laundering, public finance management, banking sector, energy, healthcare and social policies. Ukraine is also finalising a new Stand-by Agreement with the International Monetary Fund (IMF) and has implemented the associated prior actions.MFA funds are made available in the form of low-interest, long-term loans. The first instalment of €500 million under the current programme was released in December 2018, after the Ukrainian authorities fulfilled the associated policy conditions. The EU is also making further MFA loans of €1.2 billion available to Ukraine, as part of the Decision to provide MFA to ten partner countries to help them limit the economic fallout from the coronavirus pandemic. A full press release is available here.

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