On January 17, Ukraine received the first tranche of EUR 3 billion under the new large-scale EU Macro-Financial Assistance (MFA) Program for 2023. The total amount of the concessional loan under this program reaches EUR 18 billion.

The funds are provided on unprecedentedly favorable terms for Ukraine. The loan repayment period is 35 years. At the same time, interest and other debt service payments will be paid by the EU countries instead of Ukraine.

“The European Union is one of the leaders in supporting Ukraine in the fight against the terrorist country. EUR 3 billion of the MFA will help to finance urgent State Budget expenditures and ensure financial stability in the country,” said Minister of Finance of Ukraine Serhii Marchenko.

It is expected that the next tranches under the large-scale MFA program will be directed to the State Budget of Ukraine in 2023 in a stable and predictable manner, taking into account the performance by Ukraine of the conditions agreed by the parties.

Since the beginning of the full-scale war, the European Union has provided Ukraine with EUR 10.2 billion of Macro-Financial Assistance.

On January 16, Minister of Finance of Ukraine Serhii Marchenko and Governor of the National Bank of Ukraine Andriy Pyshnyy, on behalf of Ukraine, and Executive Vice-President of the European Commission Valdis Dombrovskis, on behalf of the EU, signed a Memorandum of Understanding and a Loan Agreement between Ukraine and the European Union on the Macro-Financial Assistance to Ukraine in the amount of EUR 18 billion.