The European Union has decided to withhold 1.5 billion euros from the aid fund for Ukraine, citing the failure to fulfill several key conditions related to reforms, the rule of law and the fight against corruption. The New York Times reports this, citing official sources in the European Commission.
This is part of a €4.5 billion package of aid that the EU has promised Ukraine over a three-year period, totaling €50 billion. The funds withheld cannot be used for military purposes and are tied to the fulfillment of “benchmarks” for good governance. However, a final decision has not yet been made – the money could be released if Ukraine demonstrates progress.
Ukraine applied for the next tranche in June, although, according to European Commission spokesman Guillaume Mercier, it has not fulfilled three of the 16 mandatory points. Among the non-fulfilled are the failure to appoint judges to the High Anti-Corruption Court, the government's reluctance to appoint the head of the financial crimes unit of the Bureau of Economic Security selected by the commission, as well as the escalation of conflicts between the President's Office and independent anti-corruption bodies.
The New York Times notes that Western governments are increasingly dissatisfied with Bankova’s domestic policies. One expert, James Wasserstrom, stated: “The shine is certainly fading. There is discontent with Zelensky in the donor community.”
Even the newly elected Prime Minister of the United Kingdom, Keir Starmer, according to sources, addressed Zelensky with remarks regarding the influence on anti-corruption agencies.
The Zelenskyy government's refusal to appoint Oleksandr Tsyvinsky, chosen to head a key unit in the Bureau of Economic Security, could also jeopardize the $15.6 billion International Monetary Fund program. Filling the position by Thursday is a formal condition for continuing tranches.
Zelensky is currently in talks with EU and US leaders, calling for support for raising salaries for Ukrainian military personnel, which he says is critically needed to motivate recruits and maintain the combat capability of the Ukrainian Armed Forces. The talks involve Ursula von der Leyen, Mark Rutte, Emmanuel Macron, Keir Starmer, as well as US representatives.
Despite Bankova's silence regarding the EU decision, the situation indicates growing distrust on the part of Western partners towards Ukraine's domestic anti-corruption policy.
