FT Learns Of A Problem With Ukraine’s €50bn Allocation Due To EU Budget Dispute

The EU member states are still far from reaching a consensus on an addition to the bloc’s joint budget that would require allocating €50 billion for Ukraine, according to sources participating in the talks who spoke to the Financial Times ahead of a summit in Brussels on December 14–15. It will be « very, very difficult » to reach a budget agreement, a top official told the Financial Times.

The FT said that the triumph of a far-right party in the October Dutch elections and a recent order by a German court restricting the government’s borrowing are impeding the EU’s efforts to find a settlement.

The publication notes that Congress is having trouble passing the $60 billion aid package for Kiev that US President Joe Biden’s administration has recommended.

Given that the €50 billion from the EU is meant to sustain Ukraine’s solvency until 2027, Kiev has cautioned that uncertainty surrounding the US and EU support packages jeopardizes the nation’s « macro-financial stability ». « This is the critical moment, » the EU spokesman said. « If you say you support Ukraine, you have to take responsibility, » he stated.

source: ft.com

You might also like

Leave a Comment