Ukraine Regains EU’s Trust

The European Union plans to offer Ukraine a loan of 110 million euros ($100 million) this year as part of a new financial aid package. The loan decision was approved by the European Parliament last Wednesday. The granting of the loan is linked to progress in reforms and “definitive economic successes” of Ukraine, Interfax-Ukraine quotes radio Deutsche Welle Ukrainian service as saying. This 15-year loan is subject to a 10-year grace period. In addition, Ukraine will have to observe agreements with the International Monetary Fund and the European Commission. Deutsche Welle points out that the EU has been denying Ukraine any macro-financial aid in the past few years because of the negative assessment of the economic situation in this country. In particular, the previous financial package, issued in the fall of 1998, was only partially remitted with 92 out of 150 million euros being frozen.