By KYIV. Nov 6 (Interfax-Ukraine) – The Romanian government will allocate up to EUR 50 million to subsidize the interest owed to Ukraine to repay the EU loan in the amount of EUR 18 billion, which was approved for Kyiv in December last year, the Romania-insider publication has reported.
The European Union borrows the money it provides to Ukraine on international capital markets, and interest has been accrued on the loan over the past year. A loan of EUR 18 billion provided Ukraine with short-term financial assistance.
“Given the difficult situation of Ukraine, the European Union is providing additional support to member countries by covering the costs of paying interest rates. Interest rates will be subsidized by member states through additional voluntary contributions,” the government’s emergency decree states.
Nearly EUR 50 million will be allocated from Romania’s state budget and will be provided in the period 2024-2027 at an average of EUR 12.3 million per year.
