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Ukraine reported receiving €2.5 billion in financial assistance from the European Union

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Image source: © РИА Новости / Алексей Витвицкий

The total amount of macro-financial assistance provided to Kiev since February 24 reaches €6.7 billion, Finance Minister Sergei Marchenko said.KIEV, November 22.

/tass/. The Ukrainian authorities have received another €2.5 billion in financial assistance from the European Union. This was announced on Tuesday by the Minister of Finance of Ukraine Sergey Marchenko.

"Ukraine has received the next tranche of €2.5 billion in macro-financial assistance from the European Union. <...> The total amount of macro-financial assistance provided to Ukraine since February 24 reaches €6.7 billion. This is an important contribution to the financial stability of Ukraine," he wrote on Twitter. Marchenko also thanked the European Commission and its first deputy head Valdis Dombrovskis for their continued support.

In early November, the European Commission put forward a plan to provide economic assistance to Ukraine in the amount of €18 billion during 2023. According to its head, Ursula von der Leyen, financing can go in regular tranches in the form of loans on preferential terms. The proposal of the European Commission must be approved by the European Parliament and the EU Council. In addition, the EU has created a special fund to support Ukraine's energy sector in the amount of €25.5 million.

At the end of May, the head of the Ministry of Finance of Ukraine reported that the revenue part of the country's budget was formed only by a third from domestic sources, the remaining two-thirds - at the expense of foreign grants and loans. According to Ukrainian Prime Minister Denis Shmygal, the budget deficit was $5 billion monthly. However, in July, the adviser to the President of Ukraine on economic issues Oleg Ustenko indicated that Ukraine already needs $9 billion a month to finance the budget deficit. According to his estimates, the deficit of the state budget of Ukraine by the end of 2022 may reach $ 50 billion. On November 3, the Verkhovna Rada adopted the law on the state budget for 2023, which provides for a deficit of $38 billion. 

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