EU plans 1.5 bn in monthly aid to Ukraine

The European Union is planning to provide Ukraine with EUR 1.5 billion in aid a month in 2023, the Politico news service has reported.

Destruction after a rocket attack on Kyiv, October 10. Monday morning saw a massive Russian missile attack on a number of cities in most regions of Ukraine. In Kyiv, between five and eight people were killed and dozens were wounded, according to various sources.

Photo: PAP/Viacheslav Ratynskyi

In May, the EU pledged EUR 9 billion in so-called "macro-financial assistance" to Ukraine, but only EUR 6 billion of that has been supported by EU countries, while EUR 1 billion has been spent so far.

Discussions are under way to provide the remaining EUR 3 billion later this year.

“In view of the continued need for relief, a more structural solution could be contemplated for a higher degree of predictability, and I’m working hard with [EU countries] ... to have more structured, predictable, and automated support at least for next year,” said EU Budget Commissioner Johannes Hahn, as quoted by Politico.

The news service reported that Kyiv estimates it will have a budget deficit of about USD 3.5 billion a month in 2023, while the United States has vowed to cover USD 1.5 billion a month, and asked allies to do the same.

Meanwhile, the European Commission is discussing with EU finance ministers how to provide more support. The total numbers are still under discussion, EU officials said, as quoted by Politico.

According to Politico, proposals could emerge next week or before an October 25 conference on Ukrainian reconstruction in Berlin, co-organized by the German G7 presidency and the European Commission.

(jh/gs)

Source: PAP, Politico