EU Council approves new tranche of Ukraine Facility amounting to €3.5 billion
The Council of the European Union greenlit a third payment of roughly €3.5 billion to Ukraine on March 17 within the Ukraine Facility framework, set to disburse soon as grants and loans, the Council announced.
This brings the program’s year-one total to almost €20 billion since its March 2024 launch, designed to ensure Ukraine’s macroeconomic stability and fund its reconstruction, recovery, and modernization.
The Facility, running through 2027, earmarks up to €50 billion, with €32 billion slated for reforms and investments outlined in the Ukraine Plan.
The EU deemed Ukraine compliant with 13 reform preconditions for this tranche, including boosting renewable energy, enhancing the energy regulator’s autonomy, aligning border procedures with EU standards, adopting an agricultural strategy with demining, and advancing critical raw materials policies. These steps align with Ukraine’s four-year roadmap for EU accession.
Previous payouts include €6 billion in interim funding, €1.89 billion in pre-financing, and tranches of €4.2 billion and €4.1 billion, per earlier releases.
The aid follows a lean February when Ukraine received no international tranches, draining NBU reserves by $3 billion.
March saw Canada and the UK kick off G7 loans tied to frozen Russian asset profits.
