Parliament and Council agree on long-term solution for Ukraine’s funding needs | News | European Parliament

 

Parliament and Council agree on long-term solution for Ukraine’s funding needs 

Press Releases 
 
 
  • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
  • Focus on transparency, democratic ownership and oversight, and anti-corruption 
  • Enhanced role for the Verkhovna Rada 
  • Text enshrines principle that Russia must pay for the damages caused to Ukraine 

In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


Closer involvement of Parliament and the
Verkhovna Rada

The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


Budget allocation and financial support

The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


Paving the way for using frozen Russian assets

The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


Increased transparency

Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


Quotes

David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


Next steps

The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


Background

On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

 
  • Access to page content (press "Enter")
  • Access to page content (press "Enter")Access to page content (press "Enter")
  • Direct access to language menu (press "Enter")
  • Direct access to language menu (press "Enter")Direct access to language menu (press "Enter")
  • Direct access to search menu (press "Enter")
  • Direct access to search menu (press "Enter")Direct access to search menu (press "Enter")
  • BG - български
  • BG - български BG - българскиBG - български
  • ES - español
  • ES - español ES - españolES - español
  • CS - čeština
  • CS - čeština CS - češtinaCS - čeština
  • DA - dansk
  • DA - dansk DA - danskDA - dansk
  • DE - Deutsch
  • DE - Deutsch DE - DeutschDE - Deutsch
  • ET - eesti keel
  • ET - eesti keel ET - eesti keelET - eesti keel
  • EL - ελληνικά
  • EL - ελληνικά EL - ελληνικάEL - ελληνικά
  • EN - English
  • EN - English EN - EnglishEN - English
  • FR - français
  • FR - français FR - françaisFR - français
  • GA - Gaeilge
  • GA - Gaeilge GA - GaeilgeGA - Gaeilge
  • HR - hrvatski
  • HR - hrvatski HR - hrvatskiHR - hrvatski
  • IT - italiano
  • IT - italiano IT - italianoIT - italiano
  • LV - latviešu valoda
  • LV - latviešu valoda LV - latviešu valodaLV - latviešu valoda
  • LT - lietuvių kalba
  • LT - lietuvių kalba LT - lietuvių kalbaLT - lietuvių kalba
  • HU - magyar
  • HU - magyar HU - magyarHU - magyar
  • MT - Malti
  • MT - Malti MT - MaltiMT - Malti
  • NL - Nederlands
  • NL - Nederlands NL - NederlandsNL - Nederlands
  • PL - polski
  • PL - polski PL - polskiPL - polski
  • PT - português
  • PT - português PT - portuguêsPT - português
  • RO - română
  • RO - română RO - românăRO - română
  • SK - slovenčina
  • SK - slovenčina SK - slovenčinaSK - slovenčina
  • SL - slovenščina
  • SL - slovenščina SL - slovenščinaSL - slovenščina
  • FI - suomi
  • FI - suomi FI - suomiFI - suomi
  • SV - svenska
  • SV - svenska SV - svenskaSV - svenska
  • Go to the page News
  • Go to the page News Go to the page News Go to the pageNews
  • Topics
  • Topics Topics Topics
  • Go to the page MEPs
  • Go to the page MEPs Go to the page MEPs Go to the pageMEPs
  • Go to the page About Parliament
  • Go to the page About Parliament Go to the page About Parliament Go to the pageAbout Parliament
  • Go to the page Plenary
  • Go to the page Plenary Go to the page Plenary Go to the pagePlenary
  • Go to the page Committees
  • Go to the page Committees Go to the page Committees Go to the pageCommittees
  • Go to the page Delegations
  • Go to the page Delegations Go to the page Delegations Go to the pageDelegations
  • Elections
  • Elections Elections Elections
  • View submenu: Other websites View submenu:Other websites
  • Go to the page Multimedia Centre
  • Go to the page Multimedia Centre Go to the page Multimedia Centre Go to the pageMultimedia Centre
  • Go to the page President’s website
  • Go to the page President’s website Go to the page President’s website Go to the pagePresident’s website
  • Go to the page Secretariat-general
  • Go to the page Secretariat-general Go to the page Secretariat-general Go to the pageSecretariat-general
  • Go to the page Think tank
  • Go to the page Think tank Go to the page Think tank Go to the pageThink tank
  • Go to the page EP Newshub
  • Go to the page EP Newshub Go to the page EP Newshub Go to the pageEP Newshub
  • Go to the page At your service
  • Go to the page At your service Go to the page At your service Go to the pageAt your service
  • Go to the page Visits
  • Go to the page Visits Go to the page Visits Go to the pageVisits
  • Go to the page Legislative train
  • Go to the page Legislative train Go to the page Legislative train Go to the pageLegislative train
  • Go to the page Contracts and Grants
  • Go to the page Contracts and Grants Go to the page Contracts and Grants Go to the pageContracts and Grants
  • Go to the page Register
  • Go to the page Register Go to the page Register Go to the pageRegister
  • Go to the page Open Data Portal
  • Go to the page Open Data Portal Go to the page Open Data Portal Go to the pageOpen Data Portal
  • Go to the page Liaison offices
  • Go to the page Liaison offices Go to the page Liaison offices Go to the pageLiaison offices
    News European Parliament NewsNews European Parliament European Parliament Menu Menu
  • Homepage
  • Homepage Homepage Homepage
  • Press room
  • Press room Press room Press room
  • Go to the page Accreditation
  • Go to the page Accreditation Go to the page Accreditation Go to the pageAccreditation
  • Go to the page Press Tool Kit
  • Go to the page Press Tool Kit Go to the page Press Tool Kit Go to the pagePress Tool Kit
  • Go to the page Contacts
  • Go to the page Contacts Go to the page Contacts Go to the pageContacts
  • Agenda
  • Agenda Agenda Agenda
  • Go to the page Highlights
  • Go to the page Highlights Go to the page Highlights Go to the pageHighlights
  • Go to the page Weekly agenda
  • Go to the page Weekly agenda Go to the page Weekly agenda Go to the pageWeekly agenda
  • Go to the page Briefing
  • Go to the page Briefing Go to the page Briefing Go to the pageBriefing
  • FAQ
  • FAQ FAQ FAQ
  • Go to the page Election Press Kit
  • Go to the page Election Press Kit Go to the page Election Press Kit Go to the pageElection Press KitAccess to search field
    Launch the search European Parliament
    Go back to page : Press room Press room   Current page:: Parliament and Council agree on long-term solution for Ukraine’s funding needs  
    Go back to page : Press room Press room   Go back to page : Press room Press room  Go back to page : Press roomPress room  Current page:: Parliament and Council agree on long-term solution for Ukraine’s funding needs   Current page:: Parliament and Council agree on long-term solution for Ukraine’s funding needs   Current page::Parliament and Council agree on long-term solution for Ukraine’s funding needs  Go back to page : Press room Press room  Go back to page : Press roomPress room 
     

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 

    Press Releases 
     
     
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

     
     

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 

    Press Releases 
     
     

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 

    Press Releases 
     
     
     

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 

    Press Releases 
     

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 

    Press Releases 
     

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 

    Press Releases 
     

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 

    Parliament and Council agree on long-term solution for Ukraine’s funding needs 
    Parliament and Council agree on long-term solution for Ukraine’s funding needs 
    Press Releases 
     
    Press Releases 
    Press Releases  AFET  AFETAFET  BUDG  BUDGBUDG 
     
     
     
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

     
     
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

     
     
     

    Share this page: 

    Share this page: 
    Share this page: 
  • Facebook Facebook 
  • Twitter Twitter 
  • LinkedIn LinkedIn 
  • WhatsApp WhatsApp 
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 
    • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    • Enhanced role for the Verkhovna Rada 
    • Text enshrines principle that Russia must pay for the damages caused to Ukraine 
  • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
  • Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
    Deal reached on €50 billion Ukraine Facility (€33 billion in loans and €17 billion in grants) 
  • Focus on transparency, democratic ownership and oversight, and anti-corruption 
  • Focus on transparency, democratic ownership and oversight, and anti-corruption 
    Focus on transparency, democratic ownership and oversight, and anti-corruption 
  • Enhanced role for the Verkhovna Rada 
  • Enhanced role for the Verkhovna Rada 
    Enhanced role for the Verkhovna Rada 
  • Text enshrines principle that Russia must pay for the damages caused to Ukraine 
  • Text enshrines principle that Russia must pay for the damages caused to Ukraine 
    Text enshrines principle that Russia must pay for the damages caused to Ukraine 

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    In talks with EU member states, MEPs have secured key improvements to the "Ukraine Facility”, focusing on enhancing transparency and combating corruption.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.


    Closer involvement of Parliament and the
    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

    Following the breakthrough at the European Council on 1 February, negotiators from the European Parliament and the Council of the EU reached a provisional agreement on Monday night on the Ukraine Facility, an exceptional package of €50 billion to aid Ukraine's recovery and modernisation efforts from 2024 to 2027. This deal marks a significant step towards meeting Ukraine's urgent needs and its journey towards EU membership.

    breakthrough at the European Council on 1 February


    Closer involvement of Parliament and the
    Verkhovna Rada


    Closer involvement of Parliament and the

    Verkhovna Rada

    The establishment of the "Ukraine Facility Dialogue" guarantees the European Parliament's active involvement through regular discussions with the Commission every four months on the progress and implementation of the Facility, fostering greater transparency and democratic oversight.

    Parliament has significantly enhanced the democratic legitimacy of the Facility in Ukraine by strengthening the Verkhovna Rada's involvement in its development and oversight. This process also provides for the engagement of civil society and diverse Ukrainian societal actors, ensuring a comprehensive and inclusive approach to governance.


    Budget allocation and financial support


    Budget allocation and financial support

    The European Parliament has negotiated more favourable conditions for the budget allocation and financial support within the Ukraine Facility. A substantial 33% of the resources are designated as grants, with at least 20% dedicated to the recovery, reconstruction, and modernisation of Ukraine's sub-national authorities such as regions, cities and local communities. Furthermore, 20% of the Facility's investments will be earmarked for green initiatives, and 15% of support directed towards SMEs.


    Paving the way for using frozen Russian assets


    Paving the way for using frozen Russian assets

    The agreement foresees the possibility of including further revenue in the future, with a specific mention, thanks to Parliament’s efforts, that Russia must be “held fully accountable and pay for the massive damage caused by its war of aggression against Ukraine”. The text underscores the importance of working with international allies towards this goal, based inter alia on the obligation to compensate for the financially assessable damage caused. This includes making progress on how to use immobilised Russian assets to aid Ukraine's recovery and rebuilding efforts.


    Increased transparency


    Increased transparency

    Notable progress in transparency has been achieved, including the creation of a web portal for Ukraine's financial operations and the mandatory publication of data on funding recipients exceeding EUR 100 000. The agreement also strengthens anti-corruption measures, and takes resolute steps towards ridding Ukraine of oligarchs.


    Quotes


    Quotes

    David McAllister (EPP, DE), said: “The facility allows us to support Ukraine until 2027, by giving us maximum flexibility with regard to the annual distribution of loans, grants and guarantees. This agreement is a vital step in our support of Ukraine against the Russian aggressor.”

    David McAllisterDavid McAllister

    Johan Van Overtveldt (ECR, BE), Chair of the Committee on Budgets, said: "It is important for the European Union to support Ukraine in its fight against Russian aggression. The Ukraine Facility fits into that vision, but we will have to keep evaluating and thinking about funding mechanisms for the future, ultimately including the reconstruction of the country. Meanwhile, there must be adequate monitoring of the allocation of these resources.”

    Johan Van OvertveldtJohan Van Overtveldt

    Michael Gahler (EPP, DE), co-rapporteur for the Committee on Foreign Affairs, said: "We substantially strengthened the role of the Verkhovna Rada and regional authorities, while also ensuring transparency by insisting on a Ukraine Facility Dialogue with the Commission every four months. Contributions from the Ukrainian civil society should be included in the preparation of reconstruction and reform of the country.”

    Michael GahlerMichael Gahler

    Eider Gardiazabal Rubial (S&D, ES), co-rapporteur for the Committee on Budgets, said: “On Monday, we reached a political agreement on the Ukraine Facility. This is an important political signal to the citizens of Ukraine. With this facility, the EU reaffirms its commitment to supporting the recovery and reconstruction of the country while also sending a strong signal holding Russia accountable for the damage caused by the war against Ukraine.”

    Eider Gardiazabal RubialEider Gardiazabal Rubial


    Next steps


    Next steps

    The provisional political agreement still has to be formally approved by the Council of the EU, and the Parliament. Parliament plans to vote in its 26-29 February plenary session.


    Background


    Background

    On 20 June 2023, the Commission proposed to set up a dedicated “Ukraine Facility”, with up to €50 billion for the period from 2024 to 2027 in the form of grants and loans.

    Ukraine Facility

    The facility will replace the bilateral support currently provided by the EU under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI) and the €18 billion MFA+ programme, which has run out at the end of 2023. It will integrate the support Ukraine would have received under the Instrument for Pre-accession Assistance (IPA).

    Neighbourhood, Development and International Cooperation Instrument – Global EuropeMFA+ programmeInstrument for Pre-accession Assistance

    The Ukraine Facility is part of the revision of the EU’s long-term budget (multiannual financial framework, MFF). The whole package of Ukraine Facility, MFF and the STEP initiative should be integrated also into this year’s annual budget.

    revision of the EU’s long-term budget

    Contacts: 

    Contacts: 
    Contacts: 
  • Armin WISDORFF 

    Armin WISDORFF Armin WISDORFF 
    Press Officer 
    Press Officer Press Officer 
    Contact data: 
    Contact data: 
  • Phone number: (+32) 2 28 40924 (BXL) 
  • Phone number: (+32) 2 28 40924 (BXL) Phone number: (+32) 2 28 40924 (BXL)Phone number: (BXL) 
  • Phone number: (+33) 3 881 73780 (STR) 
  • Phone number: (+33) 3 881 73780 (STR) Phone number: (+33) 3 881 73780 (STR)Phone number: (STR) 
  • Mobile number: (+32) 498 98 13 45 
  • Mobile number: (+32) 498 98 13 45 Mobile number: (+32) 498 98 13 45Mobile number:  
  • E-mail: armin.wisdorff@europarl.europa.eu 
  • E-mail: armin.wisdorff@europarl.europa.eu E-mail: armin.wisdorff@europarl.europa.euE-mail:  
  • Twitter account: @EP_Budgets 
  • Twitter account: @EP_Budgets Twitter account: @EP_BudgetsTwitter account:  
     
     

    Further information 

    Further information 
    Further information 
  • Committee on Foreign Affairs  Committee on Foreign Affairs 
  • Committee on Budgets  Committee on Budgets 
  • Procedure file  Procedure file 
     
     
     
     
     

    Product information 

    Ref.:  20240205IPR17405 

    Product information 

    Product information 
    Product information 
    Product information 
    Ref.:  20240205IPR17405 
    Ref.:  20240205IPR17405 
    Ref.: Ref.:Ref.: 20240205IPR17405 20240205IPR17405 

    Share this page: 

    Share this page: 
    Share this page: 
  • Facebook Facebook 
  • Twitter Twitter 
  • LinkedIn LinkedIn 
  • WhatsApp WhatsApp Sign up for mail updatesSign up for mail updatesPDF version PDF version News  View menu: News  View menu: News Parliament in your country 
  • Open in a new page London
  • Open in a new page London Open in a new pageLondon
  • Open in a new page Dublin
  • Open in a new page Dublin Open in a new pageDublin
  • Open in a new page Edinburgh
  • Open in a new page Edinburgh Open in a new pageEdinburgh
  • Open in a new page Valletta
  • Open in a new page Valletta Open in a new pageValletta
  • Open in a new page Washington
  • Open in a new page Washington Open in a new pageWashingtonTools 
  • Open in a new page Legislative Observatory
  • Open in a new page Legislative Observatory Open in a new pageLegislative Observatory
  • Open in a new page Multimedia Centre
  • Open in a new page Multimedia Centre Open in a new pageMultimedia Centre
  • Open in a new page EbS
  • Open in a new page EbS Open in a new pageEbS
    The President of the European Parliament 
  • Open in a new page European Parliament President’s website
  • Open in a new page European Parliament President’s website Open in a new pageEuropean Parliament President’s website Hide menu: News   Hide menu: News European Parliament  View menu: European Parliament   View menu: European Parliament 
  • Open in a new page News 
  • Open in a new page News  Open in a new pageNews 
  • Topics 
  • Topics  Topics 
  • Open in a new page MEPs 
  • Open in a new page MEPs  Open in a new pageMEPs 
  • Open in a new page About Parliament 
  • Open in a new page About Parliament  Open in a new pageAbout Parliament 
  • Open in a new page Plenary 
  • Open in a new page Plenary  Open in a new pagePlenary 
  • Open in a new page Committees 
  • Open in a new page Committees  Open in a new pageCommittees 
  • Open in a new page Delegations 
  • Open in a new page Delegations  Open in a new pageDelegations 
  • Elections 
  • Elections  Elections Hide menu: European Parliament Hide menu: European Parliament  

    The Parliament on social media  

    The Parliament on social media 
  • Check out Parliament on Facebook  
  • Check out Parliament on Facebook   Check out Parliament on Facebook 
  • Check out Parliament on Twitter  
  • Check out Parliament on Twitter   Check out Parliament on Twitter 
  • Check out Parliament on Flickr  
  • Check out Parliament on Flickr   Check out Parliament on Flickr 
  • Check out Parliament on LinkedIn  
  • Check out Parliament on LinkedIn   Check out Parliament on LinkedIn 
  • Check out Parliament on YouTube  
  • Check out Parliament on YouTube   Check out Parliament on YouTube 
  • Check out Parliament on Instagram  
  • Check out Parliament on Instagram   Check out Parliament on Instagram 
  • Check out Parliament on Pinterest  
  • Check out Parliament on Pinterest   Check out Parliament on Pinterest 
  • Check out Parliament on Snapchat  
  • Check out Parliament on Snapchat   Check out Parliament on Snapchat 
  • Check out Parliament on Reddit  
  • Check out Parliament on Reddit   Check out Parliament on Reddit Information links 
  • Open in a new pageContact 
  • Open in a new pageContact Open in a new pageContact 
  • Open in a new pageRSS 
  • Open in a new pageRSS Open in a new pageRSS 
  • Open in a new pageSitemap 
  • Open in a new pageSitemap Open in a new pageSitemap 
  • Open in a new pageLegal notice 
  • Open in a new pageLegal notice Open in a new pageLegal notice 
  • Open in a new pagePrivacy policy 
  • Open in a new pagePrivacy policy Open in a new pagePrivacy policy 
  • Open in a new pageAccessibility 
  • Open in a new pageAccessibility Open in a new pageAccessibility