The Committee of Permanent Representatives of the EU Member States has taken an important decision that could significantly affect the recovery and development of Ukraine. It was recently announced that the European Union will provide Ukraine with the first tranche of economic assistance of €4.2 billion under the Ukraine Fund, which was included in the EU budget for 2024-2027.
This was announced by the Hungarian Presidency of the Council of the EU on the social network X.
As stated in the message, the decision of the permanent representatives of the European Union countries allows for the transfer of a significant amount for the recovery, reconstruction and modernization of Ukraine. “Today, the ambassadors agreed on the first tranche under the Ukrainian Plan … within the framework of the Ukraine Fund, which paves the way for the transfer of about €4.2 billion for the recovery, reconstruction and modernization of Ukraine,” the message says.
This tranche is part of the Ukraine Fund, established to support Ukraine's economic recovery in the context of ongoing conflict and reforms. The total amount of funding allocated to Ukraine since the launch of the Fund in March this year will reach €12 billion, confirming the EU's serious approach to supporting Ukraine's efforts.
According to the European Commission's decision, regular quarterly disbursements under the fund are conditional on Ukraine fulfilling pre-agreed requirements. The first regular payment follows previous interim and pre-financing payments, demonstrating progress in implementing the recovery plan.
The funding covers important areas including public financial management, state-owned enterprises, business environment, energy and demining. Ukraine will receive up to €50 billion in grants and loans over the period 2024-2027, providing the necessary resources to support and develop the country in its post-war recovery.
