European Commission proposed to provide Ukraine with first tranche of € 1 billion

On July 1, 2022, the European Commission proposed to provide Ukraine with the first tranche of macro-financial assistance for €1 billion.

It was reported by the President of the EC, Ursula von der Leyen.

"Today, we propose €1 billion for Ukraine. The first part of the macro-financial assistance package was announced in May. It will help meet the urgent needs in the country," she said.

According to her, the EU will continue to provide assistance to Ukraine and support its recovery in the long term perspective.

According to the European Commission's press release, this tranche is part of an exclusive package of macro-financial assistance up to 9 billion euros. The funds will be provided in the long-term loans on preferential terms, and the interest will be covered by the EU budget.

The European Commission will pay 1 billion euros to Ukraine immediately after approval by the European Parliament and the Council of the EU, as well as the signing of the corresponding memorandum and agreement with the Ukrainian side.

"With this proposal, we continue to use the EU budget to support our neighbor and ally Ukraine, under the current, extremely complex circumstances. We count on the earliest possible agreement of the European Parliament and the Council, which will allow us to quickly make the first payment in favor of Ukraine, which is facing urgent financing needs," said Johannes Hahn, European Commissioner for Budget and Administration.