EU approves nearly €3 billion for Ukraine as Kyiv meets more reform targets

The European Union has allocated nearly €3 billion in fresh funding to Ukraine, with €800 million being allocated for the first time through the Ukraine Support Loan. This payment marks the eighth disbursement under the EU's Ukraine Facility. The funds will aid Ukraine's budget, recovery, modernization, and reform initiatives, as the nation continues to battle Russia's full-scale war and work towards EU membership.

According to the Council of the EU, Ukraine has managed to fulfill 88% of the targets set so far. The latest disbursement follows Ukraine's successful completion of 10 targets under its Ukraine Plan, a roadmap for reforms and investments associated with the Ukraine Facility. Currently, Ukraine has accomplished 84 out of the 95 targets required by the plan.

The Ukraine Facility, which came into existence in March 2024, provides more than €50 billion in grants and loans to Ukraine until 2027. The funding is contingent upon Ukraine meeting these targets, and it is aimed at bolstering Ukraine's macro-financial stability, maintaining public administration operations, and promoting recovery and modernization efforts.

Recently, Norway has contributed approximately €92 million in non-repayable assistance, making it the first non-EU country to offer support under Pillar I of the Ukraine Facility. Additionally, Sweden has provided over €253 million in additional voluntary contributions during the past year, while the United Kingdom recently contributed more than €17 million to Pillar II, the Ukraine Investment Framework. To date, Ukraine has received over €32 billion through the Ukraine Facility since mid-2024.