The European Commission has formally proposed to the Council of the European Union the allocation of nearly €2.8 billion under the Ukraine Facility (UF) program. This announcement was made by EU Commissioner for Enlargement, Olivér Várhelyi.
Várhelyi emphasized that as Ukraine fulfills its commitments, Europe must uphold its end of the agreement. He stated, “We are officially proposing to the Council the disbursement of nearly €2.8 billion as part of the Ukraine Mechanism. This reflects Ukraine’s successful implementation of 18 key steps outlined in the Ukraine Plan, reinforcing Ukraine today and bringing it closer to EU membership.”
The Commissioner indicated that he will continue to engage with Ukrainian authorities and the EU Council to support reform efforts, which are essential for long-term prosperity.
The Ukraine Facility is a four-year financial support program from the EU, amounting to €50 billion, aimed at financing the state budget, economic recovery, investment stimulation, and technical assistance for reforms. Funding is structured to be disbursed quarterly, contingent upon the fulfillment of specific conditions, with €38.27 billion allocated for the budget, €6.97 billion for investments, and €4.76 billion for technical support.
On April 9, the European Commission announced that Ukraine could submit a request for the next disbursement under the Ukraine Facility following the enactment of several legislative measures by the Verkhovna Rada, which are necessary to unlock these funds.
On April 7, the Verkhovna Rada passed in its second reading the draft law No. 14005, which focuses on the digitalization of court decision enforcement procedures, a key indicator for the Ukraine Facility program.
Additionally, the parliament approved in its final second reading law No. 12087-d, which pertains to the integration of Ukraine’s electricity markets with those of Europe, as well as a law establishing an ‘industrial visa-free’ regime with the EU.
Furthermore, the Rada endorsed the ‘Eurointegration’ draft law No. 14412, which outlines the principles for the delineation and distribution of powers between levels of public governance.
The European Commission has proposed a significant financial package to support Ukraine, contingent upon the country's ongoing reforms. This initiative aims to bolster Ukraine's economy and facilitate its integration into the European Union.