EU to Pay Ukraine 8.35 Billion Euros in Macro-Financial Aid This Year in Three Tranches

The European Union plans to disburse 16.7 billion euros in budget support to Ukraine this year. Half of this amount, specifically 8.35 billion euros, will be provided in three tranches through the Macro-Financial Assistance (MFA) instrument.

According to «European Pravda», the first MFA tranche of 3.2 billion euros will be paid no later than June. The second portion of funds, amounting to 3.7 billion euros, is expected in the summer or immediately after. The third tranche, totaling 1.45 billion euros, is anticipated to reach Kyiv closer to late autumn.

The remaining financial support, also 8.35 billion euros, will be provided to Kyiv via the Ukraine Facility instrument. Unlike MFA, this program requires Ukraine to implement specific reforms to receive the funds. Overall, this constitutes half of the budgetary component of the 90 billion euro loan from the EU.

It is important to note that the 90 billion euro loan does not require repayment of the received aid from Ukraine, unless Kyiv receives reparations from Russia. Otherwise, it will be repaid by the 24 member states of the bloc. On April 23, the EU Council adopted changes to the EU's long-term budget for 2021-27, which will allow for the provision of a 90 billion euro loan to Ukraine in 2026-27. The first tranche from the «military» part of this loan, amounting to 6 billion euros, will reach Ukraine no later than June.