Ukraine Risks €2bn EU Funding Cut over Unmet Reform Benchmarks, EU Trade Relations in Limbo

Ukraine risks €2bn EU funding cut over unmet reform benchmarks, EU trade relations in limbo

Ukraine risks losing up to €2bn in European Union financial support after missing four EU chapter reform targets required under the Ukraine Facility programme in the first quarter of the year. Trade relations with the EU are also in limbo.

Ukraine faces the risk of losing a portion of its EU funding.

Analysts report that in the first quarter, Ukraine failed to meet four indicators required under the Ukraine Facility program on time. This situation may not only postpone the disbursement of the program’s next loan to Ukraine but could also cause a significant reduction in available funding. Following the European Commission’s implementation of a new system for distributing partial tranches, each of these indicators now has a monetary equivalen…