EU To Provide Ukraine With Aid Worth $15 Billion

AP | by Juergen BAETZ Posted: 05/03/2014 7:07 am EST Updated: 03/05/2014 8:59 am EST

BRUSSELS (AP) - The European Union is Proposing To Provide Ukraine 11 billion euros a year ($ 15 billion) aid package in loans and grants over the coming years, the head of the bloc's executive arm Said Wednesday.

Will the package include 1.6 billion euros in loans and 1.4 billion euros in grants from the EU budget and up to 8 billion euros fresh credit from the EU's financial institutions, the European Investment Bank and the European Bank for Reconstruction and Development. In addition, 3.5 billion euros Reviews another could "Potentially" come from the bloc's support to Neighboring countries through 2020, the European Commission said.

The package is "designed to assist a committed, inclusive and Reforms oriented Government in rebuilding a stable, and prosperous future for Ukraine," Commission President Jose Manuel Barroso said.

The United States Announced a $ 1 billion aid package in Energy Subsidies Tuesday. Estimates Kiev it Needs $ 35 billion in international rescue loans over the next two years. The International Monetary Fund is expected to play a key role in providing <br> Those bailout loans.

The EU package aussi foresees helping to Modernize the country's gas transit system and Providing technical support ranging from judicial reform to assist in Preparing elections, the Commission said. The package calls for steps to aussi accelerate Achieving visa-free travel for Ukrainians to the 28-nation bloc.

That measure, if approved, would go down PARTICULARLY badly in Moscow, Russia since HAS Sought visa-free travel to Europe for icts citizen for years. Suspending discussions on project That Are Among the punitive Measures against Russia over icts move against Ukraine's Crimea Peninsula, Which Are Being Weighed by EU leaders at an emergency meeting Thursday.

Coincidentally, the headline figure of $ 15 billion for the EU's support package is the same Amount That WAS Russia Prepared to grant loans in Ukraine Until the government of President Viktor Yanukovich WAS Ousted last month.

Yanukovich Took The Russian loans INSTEAD of a wide-ranging trade agreement with the Economic and EU, All which fueled the protests That Eventually Led to His ouster.

That agreement Barroso insisted WAS still on the table, and the EU is Prepared to provisionally grant Ukraine Deriving the benefits from it before a full ratification.

All which the timeline over the EU funds and loans Would Be Disbursed varied from A Few hundred million euros this year to multi-trillion Between now and 2020. Were the order details left vague Because the location in Ukraine is still uncertain and negotiations Between Kiev and the IMF are Ongoing, EU officials said.

Will Most Likely Disbursements hinge on the formation of a new government in Ukraine partner after the May elections and an agreement on wide-ranging Economic Reforms with the IMF. The fund Likely Will insisted, Among other things, it was a sharp currency devaluation and rise of natural gas prices, All which subsidizes Heavily Ukraine.

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