In early August, the European Commission disbursed €1 billion in macrofinancial assistance, as agreed in mid-July, to help Ukraine, which is facing a military invasion by Russia, meet its financial commitments (see EUROPE 12991/4).
This new EU aid, in the form of a 25-year soft loan, is conditional on the Ukrainian authorities respecting effective democratic mechanisms (parliamentary pluralism, rule of law) and human rights. The EU budget guarantees 70% of this loan and also covers the related costs.
This assistance is the first part of a macroeconomic support package of up to €9 billion that the European Council approved at the end of June. Discussions on the overall package are expected to take place during the ministerial meeting of EU finance ministers on 9-10 September in Prague, and a month later at an extraordinary EU summit in the Czech capital, so that the Commission can present a formal proposal in the autumn.
One of the difficulties in putting together the aid package is the provision of national guarantees by Member States, as the EU budget is not in a position to do this on its own.
Since 2014, the EU has provided over €5 billion to Ukraine as part of five MFA programmes to support the implementation of reforms (anti-corruption, independence of the judiciary, respect for the Rule of law).
Moldova. In early August, the Commission also disbursed to Moldova an initial tranche of €50 million (€35 million loan, €15 million grant) as part of €150 million (€120 million loan, €30 million grant) in macrofinancial assistance until 2024 agreed in the spring (see EUROPE 12918/16).
This EU aid is also intended to help stabilise the Moldovan economy, which has been badly affected by the repercussions of the Russian invasion of Ukraine. The conditions set in return for the aid include fighting against corruption, respect for the Rule of law, and reform of the energy sector. (Original version in French by Mathieu Bion)