EC says European Union no longer has money to help Ukraine
In order to provide Ukraine with additional loans of about 8bn Euros under the previously announced new macro-financial assistance programme, the European Union needs another safety net. The latter could be based on the EU members’ guarantees, but the EU budget has no money for this – as stated by a representative of the European Commission’s press service at a briefing, RIA Novosti reports.
Speaking of a possible loan of up to 8bn Euros, the EC representative noted that any new allocation of loans to Ukraine should be accompanied by 70 percent coverage in conditions of increased risks. “At the moment, there are no available funds under the multi–year budget plan to create the necessary safety net,” she explained.
The European Commission is looking for alternatives: i.e. guarantees from the EU member states. According to the EC representative, it is not a question of the Union countries now sending additional funds to the EU budget; they are expected to guarantee the opportunity to make appropriate financial injections if necessary.
“We will submit proposals as soon as we complete negotiations with the countries,” the source said.
