Ukraine will soon receive nearly €3bn from the European Union. The EU Council has approved the eighth regular payment under the Ukraine Facility — the EU’s support mechanism for Ukraine.
As stated in the EU Council’s announcement, almost €800m of this amount will, for the first time, be provided under the Ukraine Support Loan — a loan to support Ukraine.
The payment approved today was made possible by Ukraine’s successful completion of 10 targets. To date, Ukraine has met 84 of the 95 targets, which is around 88% of the targets that were scheduled to be achieved by this point.
According to the press release, funding under the Ukraine Facility is intended to strengthen Ukraine’s macro-financial stability, support its recovery and modernisation, ensure the functioning of public administration, and back the country’s reform efforts.
Today, the EU Council also added to the programme Norway’s voluntary financial contribution of NOK 1bn (around €92m) in the form of non-repayable aid.
The Ukraine Facility allows EU member states, third countries and international organisations to make voluntary contributions. Sweden has already provided additional voluntary contributions totalling more than €253m over the past year.
Norway became the first non-EU country to contribute to the first component of the Ukraine Facility. The United Kingdom recently contributed more than €17m to the second component — the Ukraine Investment Framework.
- The Ukraine Facility entered into force on 1 March 2024 and provides for more than €50bn in grants and loans to support Ukraine’s recovery, reconstruction and modernisation through to 2027.
- Of this total, more than €40bn is earmarked for reforms and investments set out in the country’s roadmap for recovery and EU accession. Disbursements are made depending on whether Ukraine meets the specified targets.
- Following this eighth payment, disbursements to Ukraine will exceed €32bn under the Ukraine Facility since mid-2024.