Ukraine and the EU sign a Framework Agreement for financing under the Ukraine Facility program

First Vice Prime Minister and Minister of Economy of Ukraine Yulia Svyrydenko and EU Commissioner for European Neighborhood Policy and Enlargement Negotiations Oliver Varghese signed a Framework Agreement on Wednesday, May 22, on EU funding under the Ukraine Facility.

This was reported by the press service of the Ministry of Economy of Ukraine.

“The agreement defines the practical parameters of financial support under the Ukraine Facility – it is an instruction that will be used for coordination, monitoring, reporting, and much more. It mainly reflects the procedures that will be aimed at efficient, transparent and accountable use of financial resources, which is a prerequisite for further European integration,” said Svyrydenko.

According to the Agreement, Ukraine undertakes to ensure a high level of transparency and control in the use of funds provided by the European Union and protection of its financial interests. This includes the introduction of a management and control system, regular reporting, compliance with EU sanctions requirements, and the fight against corruption.

The agreement also provides for close cooperation between Ukrainian authorities and EU institutions, which will also contribute to European integration. To this end, Ukraine will actively cooperate with the European Commission, the European Anti-Fraud Office (OLAF) and the European Court of Auditors. In particular, the involved bodies will exchange information on the use of funds, coordinate their actions on the implementation of financial initiatives, conduct joint audits and inspections, and develop and implement measures to prevent corruption and fraud.

The National Coordinator, namely the Ministry of Economy, will become the key body for interaction with the European Commission and will ensure effective management and monitoring of the use of funds provided by the European Union. In particular, the National Coordinator will be responsible for preparing and submitting reports, as well as verifying the implementation of the steps of the Ukraine Plan adopted for the Ukraine Facility.

The agreement also provides for the establishment of the Audit Council, which will include professional auditors, financial control experts, and anti-corruption experts. The Board will ensure effective audit and monitoring and cooperate with other supervisory and anti-corruption bodies to ensure a comprehensive approach to controlling the use of funds.

As a reminder, the Ukraine Facility program provides for the allocation of EUR 50 billion to Ukraine by the European Union for four years. Earlier this week, the Cabinet of Ministers approved a plan for the Ukraine Facility program. The plan includes structural reforms, including in public administration, energy and agriculture.

Tags: Ukraine, EU