The Commission has signed a Memorandum of Understanding with Ukraine, paving the way for macro-financial assistance under the loan facility for Ukraine

Commissioner Valdis Dombrovskis,on behalf of the Commission, today signed the Memorandum of Understanding with Ukraine, which will underpin the forthcoming macro-financial assistance under the Ukraine Support Loan. This follows formal approval by the participating Member States in the Macro-Financial Assistance Committee on 18 May.

The Memorandum of Understanding sets out the key parameters for the macro-financial assistance, including the indicative amount of the tranches and the conditions that must be met for the disbursement of macro-financial assistance. These conditions include Ukraine’s continued respect for effective democratic mechanisms, the rule of law — including the fight against corruption — and respect for human rights.

It is important to note that the Memorandum of Understanding also sets out the policy conditions that Ukraine must fulfil before each tranche of macro-financial assistance can be disbursed. In line with the Regulation on the loan in support of Ukraine, the policy conditions have a strong budgetary focus and are structured around three main pillars: revenue mobilisation, public expenditure efficiency and public finance management systems. The conditions for the first disbursement include measures across all three pillars, including initiatives to tax revenue generated through digital platforms, the development of sectoral strategies for public investment, and the updating of Ukraine’s Customs Code.

Following today’s signing, Ukraine will in turn be able to sign and ratify the Memorandum of Understanding. Once these steps have been completed and the Memorandum of Understanding has entered into force, the Commission will swiftly proceed with the remaining formalities necessary for the first tranche of macro-financial assistance of €3.2 billion to be disbursed in the second quarter of 2026, provided that Ukraine meets the relevant conditions.

Valdis Dombrovskis, Commissioner for Economy and Productivity, Implementation and Simplification, said: “With today’s signing, we are on track and moving towards the first disbursement of the support loan to Ukraine. This support will strengthen the resilience of the Ukrainian economy, boost national revenues and reinforce the fight against corruption. It is linked to the fulfilment of clear reform conditions and demonstrates, once again, the EU’s firm commitment to supporting Ukraine for as long as necessary.”

More information: European Commission.