The Strategist

EU devises new mechanism for assisting Ukraine

11/08/2022 - 10:11

Bloomberg reports that the EU will propose a new framework for giving Kiev financial support worth €18 billion on November 9.

Thus, the EU wants to increase "predictability" of its funding to Ukraine.

According to Bloomberg, "The new instrument for Ukraine will provide mostly concessional loans to cover acute requirements, rehabilitation of essential infrastructure, and early help for post-war development."

It is noted that the new mechanism includes a number of mandatory conditions for Ukraine, such as the rule of law and fight against corruption. The officials note that Kiev should comply with the same conditions during its accession to the EU.

To avoid delays in aid, Bloomberg said, the EU authority intends to use additional funds in the EU budget as a guarantee for collecting the necessary funds.