Here is the new economic aid from the EU to Ukraine, but not all countries agree
The European Commission would like to increase aid to Ukraine in 2023 to 18 billion euros. However, Hungary is skeptical. All the details
On Wednesday, the European Commission provided details on an € 18 billion economic aid package to Ukraine for 2023.
1.5 BILLION PER MONTH
The plan – aimed at supporting the Ukrainian government against the Russian invaders – provides for the sending to Kiev by the European Union of 1.5 billion euros per month in the form of thirty-five-year loans.
AID TO UKRAINE, WHAT DOMBROVSKIS SAID
Commission Vice-President Valdis Dombrovskis said that "we are presenting this new financial package for Ukraine at a time of dire need for the country, as Russia's relentless attacks continue to hit key infrastructures", such as those for energy .
“Our financial assistance”, he added, “must be stable, structured and predictable”.
THE APPROVAL OF THE MEMBER STATES
The aid package will have to be approved by the member states of the Union, some of which – Euractiv emphasizes – would prefer not to take responsibility for the growing Ukrainian debt: interest payments on loans granted to Kiev are in fact covered by the blockade.
Dombrovskis asked the countries of the Union and the European Parliament to approve the plan quickly, before the end of the year, in order to start sending payments as early as January 2023. "You have to decide quickly," he said. , because “2023 is fast approaching and Ukraine's financial needs are urgent”.
THE SUMMIT OF DECEMBER 15-16
The leaders of the European countries will meet on 15 and 16 December to discuss, among other things, their own new support for Ukraine. It may be difficult to get a consensus mainly because of Hungary, which is pro-Russian. Hungarian Foreign Minister Péter Szijjártó anticipated that his country intends to continue with financial aid to Kiev on a bilateral basis and that it opposes a form of community credit.
WHAT THE UKRAINE SAID
Ukrainian Prime Minister Denys Shmyhal called the European proposal "a very important initiative that will support the economic stability of our state and strengthen the basis of our future victory" against Russia.
Shmyhal explained that European funds "will help cover a significant portion of the defense budget, for a total of $ 38 billion".
PREVIOUS EU AID TO UKRAINE
This year, the European Union has so far sent € 4.2 billion in aid to Ukraine, and is expected to pay another € 2.5 billion by the end of November.
In May, the Commission said it would increase economic assistance to Ukraine to 9 billion, but member states have not reached an agreement to finance the sum.
ESTIMATE OF THE INTERNATIONAL MONETARY FUND
As reconstructed by Euractiv , the slowness in the disbursement of macro-financial aid has forced Kiev to print more of its own currency to support the war effort. The risk is that this practice could cause the inflation rate in the country to spiral out of control, further complicating the financing of the resistance.
The International Monetary Fund estimates that Ukraine needs between 3 and 4 billion euros a month to keep government services operational and at the same time counter Russian forces.
THE WORDS OF VON DER LEYEN
The president of the European Commission, Ursula von der Leyen, said that “we will make sure that Ukraine emerges from this war as a prosperous country on the path of European integration. We will be alongside Ukraine for as long as necessary ”.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/mondo/ecco-i-nuovi-aiuti-economici-dellue-allucraina-ma-non-tutti-i-paesi-sono-daccordo/ on Thu, 10 Nov 2022 09:26:23 +0000.