The European Parliament and the Council of the EU reached a preliminary agreement on €50 billion for Ukraine

The Council of the EU and the European Parliament on Monday reached a preliminary agreement on the creation of a new special instrument to support the recovery, reconstruction and modernization of Ukraine, as well as to support its efforts to carry out reforms on the way to joining the EU. As write "European Truth", this was reported in the Council of the EU.

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The Ukrainian fund in the amount of 50 billion euros will combine budgetary support for Ukraine from the EU into one single instrument that will provide consistent, predictable and flexible support for the period 2024-2027.

"The Ukraine Fund will allow us to direct consistent and predictable support to Ukraine to help its people rebuild their country in the face of unprecedented challenges caused by Russia's war of aggression.

At the same time, this support will help Ukraine promote the reforms and modernization necessary to advance on the path to future EU membership," said Vincent van Peteghem, Minister of Finance of Belgium, which chairs the EU Council.

The structure of the program for Ukraine will consist of three components:

Component I: The Government of Ukraine will prepare a "Ukrainian Plan", which will outline its intentions for the recovery, reconstruction and modernization of the country, as well as the reforms it plans to implement as part of the EU accession process.

Component II: As part of the investment program, the EU will provide support in the form of budget guarantees and a combination of grants and loans from public and private institutions.

Component III: Assistance in joining the European Union and other support measures that help Ukraine adapt to EU legislation and carry out structural reforms on the way to future membership.

Ukraine can request, within the framework of the "Ukrainian Plan", an advance payment of up to 7% of the program amount.

A prerequisite for Ukraine's support under the fund will be that Ukraine will continue to support and respect effective democratic mechanisms, including a multi-party parliamentary system and the rule of law, as well as guarantee respect for human rights, including the rights of persons belonging to minorities.

In order to evaluate the implementation of the plan, the regulation will provide a system of indicators that will help to easily track progress in the implementation of various qualitative and quantitative steps, including an overview of the social, economic and environmental elements of the "Ukrainian Plan".

The preliminary agreement is subject to approval by the EU Council and the European Parliament before the text can go through the formal adoption process. Once adopted, it will be published in the Official Journal of the EU and enter into force the following day. The Regulation will be applied immediately after its entry into force.

It will be recalled that on Thursday the EU leaders overcame the long-term opposition of Hungary and reached an agreement on the allocation of macro-financial assistance to Ukraine in the amount of 50 billion euros. The program is designed for four years.

The conclusions of the summit state that Ukraine will be able to receive funds if a number of prerequisites are met. It also says that EU leaders will debate the program every year, and after two years they can propose to the European Commission a review of the entire multiannual financial framework.

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