On Wednesday, April 24, Ukraine received EUR 1.5 billion in transitional financing under the Ukraine Facility. According to the schedule of payments under the program proposed to the member states by the European Commission, a total of EUR 16 billion of financial support from the European Union is to be received by the state budget in 2024.

The European Commission has positively assessed the fulfillment of the indicators for the EUR 1.5 billion tranche under the Ukraine Facility. Thus, Ukraine has successfully implemented 5 indicators:

- Adoption of the National Revenue Strategy for 2024-2030;

- Adoption of amendments to the Law on the Prosecutor's Office and laws on strengthening the independence of the Special Anti-Corruption Prosecutor's Office;

- Additional measures to prevent and counteract illicit proceeds and terrorist financing;

- Measures to support the introduction of industrial parks as a tool for attracting investment to the de-occupied territories;

- Alignment of the State Land Cadastre and the State Register of Real Rights to Immovable Property.

"Bridge financing allows us to receive support even before the final launch of the Ukraine Facility. Ukraine has already received EUR 6 billion under the program in March and April this year. When the Ukraine Facility Plan is approved by the EU, we will receive the next disbursement of EUR 1.89 billion in pre-financing in June, as well as EUR 4.11 billion and EUR 4 billion under the programme in September and November," said Yuliia Svyrydenko, First Deputy Prime Minister of Ukraine and Minister of Economy of Ukraine.

She added that the European Commission had proposed to the EU member states to approve the relevant payment schedule under the Ukraine Facility. In particular, the schedule envisages EUR 1.89 billion in pre-financing to be provided after the final approval of the Plan. Subsequently, funding under the program will be disbursed on a quarterly basis based on the fulfillment of the indicators of the Ukraine Facility Plan.

Thus, according to preliminary calculations, Ukraine is to receive EUR 16 billion in 2024, EUR 12.5 billion in 2025, EUR 7.25 billion in 2026, EUR 1.2 billion in 2027, and EUR 1.32 billion in January 2028 for meeting the indicators of Q4 2027.

As a reminder, in February 2024, the European Parliament approved the regulations of the Ukraine Facility programme. According to the approved regulations, the EU's EUR 50 billion support program for Ukraine will run from 2024 to 2027 and will include three components:

- The first component is direct support to the state budget - EUR 38.27 billion, including EUR 33 billion in loans and EUR 5.27 billion in grants;

- The second component is a special investment instrument to cover risks in priority sectors - EUR 6.97 billion;

- The third component is technical support for the implementation of reforms, as well as interest coverage on loans, including those received earlier - EUR 4.76 billion.

Funding under the first pillar of the program will be provided based on the achievement of quarterly indicators set out in the Ukraine Facility Plan. The Plan identifies key reforms and areas for investment that will contribute to sustainable economic growth and attract financing to enhance the country's growth potential in the medium and long term. It also contains a high-quality system of transparency, audit and control, which will also be strengthened as part of the envisaged reforms.

The European Commission endorsed the Ukraine Facility Plan on April 15 and invited the EU Council to adopt the document. Now, EU member states have one month to adopt the Implementing Decision proposed by the Commission, which will pave the way for the full launch of the Ukraine Facility programme.