Tens of billions of euros in four years: the European Parliament will create a special fund for Ukraine

These funds are necessary to cover the state budget deficit.

The European Parliament supported the initiative to create the Ukraine Facility, which provides for the provision of macro-financial assistance to Ukraine in the amount of up to 50 billion euros over the next four years. Prime Minister Denis Shmyhal announced this on his Telegram channel .

“We expect to receive 18 billion euros next year. These funds will help finance the budget deficit, calculate social benefits, pensions and salaries for doctors and teachers,” the head of government noted.

According to Shmygal, the Cabinet of Ministers is working closely with the European Commission to implement the necessary changes and transformations that will bring Ukraine closer to the EU and open access to this program.

“In particular, this is digitalization, integration into European markets, development of human capital, energy independence,” the prime minister added.

State budget deficit

On September 15, the Cabinet of Ministers approved and sent the draft state budget for 2024 to parliament for consideration . The revenue side of the 2024 state budget is 1.56 trillion hryvnia, which is 345 billion more than the current year. The expenditure portion is 3.1 trillion, which is 325 billion more than the current figure.

According to Prime Minister Shmygal, in 2024 Ukraine will need approximately $42 billion to cover the budget deficit . These funds are planned to be raised in the form of non-repayable grants from the United States, loan funds under a new cooperation program with the International Monetary Fund, as well as macro-financial assistance from the European Union.

(C)UNIAN 2023