EU to provide $17.8B in funding to Ukraine next year

BERLIN

The European Union plans to provide €18 billion ($17.8 billion) in financial assistance to Ukraine next year, European Commission President Ursula von der Leyen said on Tuesday.

Speaking at a news conference in Berlin, von der Leyen said the EU is planning to cover nearly one-third of Ukraine’s budgetary needs for the year 2023, and the rest will be covered by international partners.

“About a third of Ukraine’s budgetary needs should be financed by us, and this means €1.5 billion per month throughout the year,” von der Leyen said, but added that Kyiv’s budget deficit may be more or less than projections due to the war.

She said EU member states are currently discussing the details of this direct financial assistance, and the EU will work with Ukraine to set up a "reliable mechanism" for implementation of the plan.

“We know that we can also rely on our American friends, and we estimate that the international financial institutions will also play their part,” she added.

The EU and Germany are co-hosting an international experts conference in Berlin on Tuesday to discuss key matters for the recovery and reconstruction of Ukraine.

Ahead of the conference, German diplomats said there will not be any political decisions at the meeting. Recommendations of the experts will be published later, to guide policymakers in future decisions on a comprehensive reconstruction and modernization plan for Ukraine.