Economic analysis
- The Impact of Labour Migration on the Ukrainian Economy, April 2020
- Towards Better Adequacy & Sustainability: A Review of Pension Systems & Pension Reforms in Eastern Partnership Countries, October 2020
- Report from the Commission to the European Parliament and the Council on the implementation of macro-financial assistance to third countries in 2019 (page 8-9)
- Commission Staff Working document background analysis per beneficiary country accompanying the document report from the Commission to the European Parliament and the Council on the implementation of macro-financial assistance to third countries in 2019
- Association implementation Report on Ukraine, 14 November 2017
Macro-financial assistance
MFA in the context of the COVID-19 pandemic
On 22 April 2020, the Commission adopted a proposal for a €3 billion MFA package to ten enlargement and neighbourhood partners to help them limit the economic fallout of the coronavirus pandemic. The decision was adopted by the European Parliament and the Council of the EU on 25 May 2020. As part of this package, the EU agreed on a MFA programme of EUR 1.2 billion to Ukraine.
- Memorandum of Understanding between the European Union and Ukraine
- Decision of the European Parliament and the Council of 25 May 2020
- SWD accompanying the Commission proposal on providing MFA in the context of the COVID-19 pandemic
- Commission proposal on providing MFA in the context of the COVID-19 pandemic
MFA IV
Following the Ukrainian authorities' request for additional MFA to help the country cover its external financing needs, the Commission adopted a proposal for a fourth consecutive MFA programme for Ukraine of up to EUR 1 billion on 9 March 2018. This new programme aims at supporting economic stabilisation and accelerated reform implementation in the country. The European Parliament and the Council adopted the Decision on the fourth MFA programme for Ukraine on 4 July 2018. The two tranches of EUR 500 million each were disbursed in November 2018 and May 2020. With these disbursements, the EU has now provided Ukraine with €3.8 billion in MFA loans since 2014. This is the largest amount of MFA the EU has disbursed to any single partner country.
Key documents relating to MFA IV
- Information Note on the disbursement of the second instalment
- Information Note on the disbursement of the first instalment
- Memorandum of Understanding between the European Union and Ukraine for Macro-Financial Assistance to Ukraine of up to EUR 1 billion
- Legislative decision for the new MFA operation
- Commission proposal for EU macro-financial assistance to Ukraine
- Ex-ante evaluation statement on EU macro-financial assistance to Ukraine
MFA III
Faced with a deep economic recession and a severe confidence crisis due to the protracted armed conflict in the Eastern part of the country, Ukraine requested additional financial assistance from the EU and other international partners in late 2014. On 8 January 2015, the Commission adopted a proposal for a third MFA programme for Ukraine of up to EUR 1.8 billion, in order to alleviate the country's large external financing needs and to support the ambitious reform programme of the authorities. The European Parliament and the Council adopted the Decision on the third MFA programme for Ukraine on 15 April 2015. The first tranche under this programme (EUR 600 million) was disbursed on 22 July 2015, while the second tranche (also EUR 600 million) was disbursed on 4 April 2017. A third tranche of EUR 600 million could have been disbursed to Ukraine subject to the implementation of 21 policy measures jointly agreed with the Ukrainian authorities. Although Ukraine fulfilled 17 policy commitments attached to this instalment, four measures, including two related to the fight against corruption, had not been implemented by the time the availability period of the assistance expired in January 2018. Under these circumstances, the Commission was not in a position to disburse the last instalment under MFA III.
Key documents relating to MFA III:
- Memorandum of Understanding between the European Union and Ukraine for Macro-Financial Assistance to Ukraine of up to EUR 1.8 billion
- Decision of the European Parliament and the Council of 15 April 2015 providing Macro-Financial Assistance to Ukraine (EUR 1.8 billion)
- Commission proposal for EU macro-financial assistance to Ukraine
- Ex-ante evaluation statement on EU macro-financial assistance to Ukraine
MFA II
In light of political developments in early 2014 and of the acute balance-of-payments crisis experienced by Ukraine, the Commission proposed on 19 March 2014 a second MFA operation of up to EUR 1 billion. This proposal was accompanied by a detailed evaluation of the economic challenges facing Ukraine and of the objectives pursued through the MFA operation. It was endorsed through a decision adopted by the Council on 14 April 2014. The two tranches of EUR 500 million each were disbursed in June and December 2014.
Key documents relating to MFA II:
- Ex post evaluation of Macro Financial Assistance Operations I & II to Ukraine
- Memorandum of Understanding between the European Union and Ukraine for Macro-Financial Assistance for Ukraine of up to EUR 1 billion
- Council decision of 14 April 2014 providing Macro-Financial Assistance to Ukraine (EUR 1 billion)
- Commission proposal for EU Macro-Financial Assistance to Ukraine
- Evaluation statement on EU Macro-Financial Assistance to Ukraine
MFA I
In 2014 and early 2015, a total of EUR 1.61 billion worth of loans was disbursed by the EU to Ukraine under two successive MFA operations. A first MFA package of EUR 610 million, based on decisions from 2002 (EUR 110 million) and 2010 (EUR 500 million), was provided to Ukraine to help support economic reforms in the country and address persistent external financing difficulties. The first tranche of EUR 100 million was disbursed in May 2014, followed by a second disbursement of EUR 260 million in November 2014 and a last disbursement of EUR 250 million in April 2015.
Key documents relating to MFA I:
- Ex post evaluation of Macro Financial Assistance Operations I & II to Ukraine
- Memorandum of Understanding between the European Union and Ukraine for Macro-Financial Assistance for Ukraine of up to EUR 610 million
- Decision of the European Parliament and of the Council of 7 July 2010 providing Macro-Financial Assistance to Ukraine (EUR 500 million)
- Council decision of 12 July 2002 providing supplementary Macro-Financial Assistance to Ukraine (EUR 110 million)
Press releases
- 11 December 2020: EU disburses €600 million in macro-financial assistance to Ukraine
- 11 August 2020: Coronavirus: Eight macro-financial assistance programmes agreed to support enlargement and neighbourhood partners
- 29 May 2020: EU approves disbursement of €500 million in macro-financial assistance to Ukraine
- 30 November 2018: EU approves disbursement of €500 million in Macro-Financial Assistance to Ukraine
- 14 September 2018: Commission signs €1 billion in Macro-Financial Assistance to support reforms in Ukraine
- 9 March 2018: European Commission proposes further EUR 1 billion in macro-financial assistance to Ukraine
- 1 December 2017: European Commission ready to consider further Macro-Financial Assistance to Ukraine, provided reform momentum is stepped up
- 16 March 2017: European Commission approves disbursement of €600 million in assistance to Ukraine
- 22 July 2015: European Commission disburses €600 million assistance to Ukraine
- 22 May 2015:EU and Ukraine sign Memorandum of Understanding for additional €1.8 billion macro-financial assistance
- 21 April 2015:Commission disburses €250 million assistance
- 8 January 2015: Commission proposes further EUR 1.8 billion in macro-financial assistance
- 3 December 2014: EUR 500 million of EU Macro-Financial Assistance disbursed
- 12 November 2014: EUR 260 million of EU Macro-Financial Assistance disbursed
- 17 June 2014:EUR 500 million of EU Macro-Financial Assistance disbursed
- 20 May 2014: First tranche of EU Macro-Financial Assistance disbursed
- 5 March 2014: European Commission's support to Ukraine
Related EU Policies and Activities
The links below provide additional information on EU-Ukraine relations: