Ukraine receives €1.5bn – with hopes for another €10bn this year

Ukraine has received a new €1.5bn (£1.29bn) package of financial support from the EU, with hopes of another €10bn later this year.

Finance minister Serhiy Marchenko said the EU, which has provided Ukraine with €31bn, has become the biggest donor of budget financing to Ukraine.

Ukraine faces a $37bn (£29.75bn) budget deficit this year and relies heavily on financial aid from its Western partners.

Kyiv uses most of its state revenues to fund defence efforts as its troops fight a larger and better equipped Russian army.

Ukraine’s first deputy prime minister, Yulia Svyrydenko, said the government looked forward to final approval of the EU’s Ukraine Facility lending program worth €50bn and hopes for three more tranches this year.

Yulia Svyrydenko / Reuters

She said following final approval, Kyiv would be able to receive €1.89bn in June and two more instalments worth about €4bn in September and November.

Ukraine will have to implement a number of reforms to unlock the tranches, including measures to improve transparency, fight corruption and bring the country’s legislation closer to the EU.


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