International Trade Committee MEPs back €1.8 billion EU loan plans for Ukraine
Plans to disburse €1.8 billion in medium-term loans
to help Ukraine out of its economic recession were backed by the International
Trade Committee on Thursday. The loans will top up financial help from other
donors under an economic programme put together by
the International Monetary Fund (IMF).
Ukraine’s
acute economic difficulties, due in part to long-standing structural
shortcomings, have been aggravated by armed conflict in the east of the
country, Russia’s undeclared war and trade restrictions on it, and the
escalation of a natural gas supply dispute between the two countries.
The
committee approved the EU Commission’s proposal, without amending it, by 30
votes to 7, with no abstention.
"This
additional money can make an important contribution to a new package of
international support to Ukraine, both directly, through the approved amount of
€1.8 billion and indirectly, by mobilising other
partners' contributions", said rapporteur Gabrielius Landsbergis (EPP, LT).
Mr
Landsbergis explained that the economic recession and capital flight from
Ukraine have turned out to be more severe than initially expected, resulting in
a sharp depreciation of the currency and a depletion of its international
reserves. Ukraine has also lost its access to international debt markets, he
added.
European Parliament