EU will transfer first part of 18 billion euro loan to Ukraine on Tuesday

The European Union will transfer three billion euros in loans to Ukraine on Tuesday, Commission President Ursula von der Leyen announced on Monday. This is the first tranche from a loan worth 18 billion euros, which the EU wants to use to help the government in Kyiv get through 2023.

In December, member states agreed to make up to €18 billion in concessional loans available to Ukraine in 2023. Originally, the EU wanted to provide around 1.5 billion euros each month, but Kyiv's financing needs are so great that the first tranche of the loan will be doubled. 

The financial support should allow the Ukrainian government to continue paying salaries and pensions during the war. The money can also be used to keep hospitals and schools running and to repair destroyed infrastructure such as bridges, roads and power grids. 

Ukraine must repay the loans from 2033 and has 35 years to do so. In addition, the EU will bear the interest costs.

^{© BELGA PHOTO NICOLAS MAETERLINCK}