Prime Minister Serhiy Koretskyi announced that the Ukrainian government will accelerate work to fulfill its obligations under the European Union Ukraine Facility program. The effort aims to secure the maximum possible funding from international partners, which Koretskyi described on Telegram as a critical resource for the country.
Koretskyi held a meeting with ministers to analyze the current state of obligations and identify overdue tasks. He said the government must immediately close outstanding commitments and meet all conditions for the third quarter to avoid the risk of missing out on funds.
Risks to EU Funding
The RRR4U think tank consortium reported on August 4 that unfulfilled indicators across the Ukraine Facility and Ukraine Support Loan programs could cost Ukraine about 7.35 billion euros in international funding. The group noted a critical risk of permanently losing 280 million euros due to a missed target for increasing staff at the High Anti-Corruption Court.
The Ukraine Facility was launched in 2024 to provide up to 50 billion euros in grants and loans for Ukraine's recovery, reconstruction, and modernization from 2024 to 2027. Up to approximately 32 billion euros is designated to support reforms and investments set out in the Ukraine Plan.
External Financing Needs
Koretskyi stated that Ukraine has already drawn 29.5 billion euros out of the 46.8 billion euros provided under the program.
In March, RRR4U warned that Ukraine will need 52 billion dollars in external financing in 2026, with access to most of the funds directly tied to cooperation with the International Monetary Fund. Estimates by the KSE Institute indicate Ukraine will require an additional 67.4 billion dollars in international financial aid between 2027 and 2029.
