Brussels: EU countries on Tuesday approved new aid for Ukraine As the country faces increasing economic damage Russiaattack of
Finance ministers of the 27-nation EU on Tuesday approved 1 billion euros ($1 billion) in loans to the Ukrainian government.
This amount brings the total amount of EU macro-financial assistance to 2.2 billion euros. Kyiv this year. An initial 1.2 billion euro EU loan package was cleared from the bloc’s finance chiefs just days before Russia’s February 24 full-scale attack.
The European CommissionIn mid-May, the executive branch of the European Union proposed additional aid of up to 9 billion euros to Ukraine. The planned 1-billion-euro payment is part of the initiative, which comes as Russia advances into eastern Ukraine and casualties mount on both sides.
“This will give Ukraine the funds needed to meet urgent needs and ensure the operation of critical infrastructure,” said in a statement the Czech Republic’s Finance Minister, Zbnek Stanjura, who is currently the rotating president of the European Union.
Ukraine said last week that it would spend $750 billion on post-war reconstruction. Meanwhile, the government in Kyiv is estimated to need around 5 billion euros per month to keep the economy afloat.
The Group of Seven countries, including the United States, have pledged to help Ukraine meet its short-term financing needs, in addition to providing military aid to Kyiv and imposing broad economic sanctions against Russia.
The five-month-old war is causing economic and social changes around the world, ranging from potential food shortages in Africa to energy supply disruptions in the European Union. These in turn are increasing the risk of a global recession.
The European Union on Thursday is expected to lower its forecast for bloc-wide economic growth in 2022 for the third time this year.
In May, the European Commission projected that EU GDP would expand by 2.7% in 2022, downgrading the forecast made in February to 4% growth. February’s outlook was weaker than November’s estimate of 4.3% EU GDP growth this year.
Over the past two months, Russia has cut or reduced natural gas distribution in more than 10 EU countries, and inflation in Europe continues to rise. In June, inflation reached a record 8.6% in the 19 countries that share the euro currency.
Finance ministers of the 27-nation EU on Tuesday approved 1 billion euros ($1 billion) in loans to the Ukrainian government.
This amount brings the total amount of EU macro-financial assistance to 2.2 billion euros. Kyiv this year. An initial 1.2 billion euro EU loan package was cleared from the bloc’s finance chiefs just days before Russia’s February 24 full-scale attack.
The European CommissionIn mid-May, the executive branch of the European Union proposed additional aid of up to 9 billion euros to Ukraine. The planned 1-billion-euro payment is part of the initiative, which comes as Russia advances into eastern Ukraine and casualties mount on both sides.
“This will give Ukraine the funds needed to meet urgent needs and ensure the operation of critical infrastructure,” said in a statement the Czech Republic’s Finance Minister, Zbnek Stanjura, who is currently the rotating president of the European Union.
Ukraine said last week that it would spend $750 billion on post-war reconstruction. Meanwhile, the government in Kyiv is estimated to need around 5 billion euros per month to keep the economy afloat.
The Group of Seven countries, including the United States, have pledged to help Ukraine meet its short-term financing needs, in addition to providing military aid to Kyiv and imposing broad economic sanctions against Russia.
The five-month-old war is causing economic and social changes around the world, ranging from potential food shortages in Africa to energy supply disruptions in the European Union. These in turn are increasing the risk of a global recession.
The European Union on Thursday is expected to lower its forecast for bloc-wide economic growth in 2022 for the third time this year.
In May, the European Commission projected that EU GDP would expand by 2.7% in 2022, downgrading the forecast made in February to 4% growth. February’s outlook was weaker than November’s estimate of 4.3% EU GDP growth this year.
Over the past two months, Russia has cut or reduced natural gas distribution in more than 10 EU countries, and inflation in Europe continues to rise. In June, inflation reached a record 8.6% in the 19 countries that share the euro currency.