EU launches 35 billion euro package for Ukraine
Von der Leyen with Zelenskyj on the sidelines of the UN General Assembly in New York
© AFP
The European Union has launched a new Ukraine aid package worth up to 35 billion euros. The permanent representatives of the member states voted in Brussels on Wednesday for the loans for this year and next, the Council, representing the member states, said on Wednesday in Brussels. EU Commission President Ursula von der Leyen promised Ukraine so-called macro-financial aid in September during a visit to Kiev.
The 50 billion package is to be financed through interest gains on frozen Russian assets in Europe. Hungary has so far prevented a decision for the longer-term use of these interest profits within the framework of the EU’s Russia sanctions. So far, the sanctions have to be renewed unanimously every six months. The EU Commission had suggested that the member states extend the collection of interest income to three years, but the pro-Russian government of Viktor Orban rejects this.
A qualified majority among the member states was sufficient for the new European loans of up to 35 billion euros – i.e. 15 member states, which comprise 65 percent of the EU population. The EU states still have to formally decide on the aid, and approval from the European Parliament is also required. Both should take place by the end of October due to Ukraine’s tense financial situation.
According to the Commission’s proposal, the EU expects the G7 partners – namely the USA, Japan and Canada – to “cover the remaining loan amount” in order to reach the 50 billion US dollars. According to diplomats, because of the Hungarian blockade, the USA has recently been cautious about its involvement and has raised questions about liability. If the Republican Donald Trump wins the presidential election on November 5th, US participation would probably be invalid, according to Brussels.
AFP
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