Technical and financial assistance

The European Neighbourhood Instrument for 2014-2020 that replaced The European Neighbourhood and Partnership Instrument for 2007-2013 is the strategic EU Side document for providing the technical assistance to Ukraine. This mechanism is intended to promote deepening the political cooperation, fundamental democratic principles, intensification of the economic integration and strengthening of the partnership between the EU and partner countries.

Legal basis for the technical cooperation with the European Union is determined by the provisions of the international treaties between Ukraine and the EU, including the Framework Agreement between the Government of Ukraine and the European Communities Commission of December 12, 2006.

EU assistance in the framework of the Special Measures for Support of Ukraine.

Due to the political situations in Ukraine since 2014 European Commission temporarily suspended the programme approach for Ukraine, instead of which the annual Special Measures format was introduced.

365 million Euros (355 million Euros for the State Building Contract and 10 million euro for the Civil Society Support Programme) is provided within the framework of the Special Measures for Ukraine. 305 million Euros was received in the framework of the Contract (I tranch – 250 million Euros, II tranch – 55 million Euros).

In addition Ukraine and the European Union concluded a number of international agreements on assistance in the framework of the Special Measures, especially:

55 million Euros for assistance in the recovery of Ukraine’s economy (EU SURE programme for the support of the Ukraine’s private sector), of which 40 million Euros is provided for the creating of the Loan Guarantee Fund, as well as 15 regional SME support centres, and 15 million Euros is provided as a component of technical assistance to Government (including 7 million Euros as a compensation up to 50% of the annual contribution for participation in the HORIZON 2020 Programme for 3 years).

97 million Euros (Local Empowerment, Accountability and Development Programme U-LEAD) for the strengthening of potential for the realization of decentralization and regional policy reforms (64,5 million euro), as well as the creating of administrative services providing centres and the improving of citizens’ knowledge on the local self-government (30,5 million euro).

A number of international agreements were concluded that concern the continuing of the financing of the measures aimed at:

increasing of the institutional potential and establishment of the effective system for the coordination of the state institutions in the justice sector in carrying out reforms (8,6 million Euros for the financing, “Support for the reforms in the justice sector” Project);

approximation of the national legislation to the European and international standards in the sphere of migration processes management and the asylum provision (28 million Euros, “Support for Ukraine on the migration processes management and the asylum provision” project);

strengthening of the capabilities of the state institutions, Verkhovna Rada of Ukraine, civil society and media in the increasing the effectiveness in the realization of the anticorruption policy (16, 34 million Euros, “EU Anticorruption Initiative in Ukraine” measure).

To date five programmes of the sectoral budget support are implemented or have been completed:

“Promotion of the mutual trade by elimination of the technical barriers in the trade between Ukraine and the European Union”(45 million Euros, beneficiary – Ministry of Economic Development and Trade of Ukraine, deadline for implementation 21.12.2021 – 21.12.2021);

“Support for the implementation of the transport strategy of Ukraine” (65 million Euros, beneficiary – Ministry of infrastructure, deadline for implementation 21.10.2021 – 21.10.2021);

“Support for the policy of the border management in Ukraine” (66 million Euros, beneficiaries – State Border Guard Service of Ukraine, State Custom Service of Ukraine, deadline for implementation 31.10.2021 – 31.10.2021);

“Continuing the support for the implementation of the Energy strategy of Ukraine” (45 million euro, beneficiary – Ministry of Energy and Coal Mining of Ukraine; deadline for implementation 20.12.2021 – 20.05.2022).

“Regional policy of Ukraine support programme” (55 million Euros, beneficiary - Ministry for Regional Development, Building and Housing of Ukraine, deadline for implementation 14.11.2021 – 14.11.2021).

In addition, in 2016 Ukraine and the European Union signed the international agreement, which is new EU initiative on the realization o the new sectoral budget support programme “Support for integrated reform of the public management in Ukraine” totalling 104 million Euros. Programme aims to help implement a comprehensive Public Management Reform Strategy for 2016-2020 and the strengthening of the potential of the government institutions in the field of public finance management.

 Programme approach is expected to be restored from 2018. The total amount of funding in the framework of the bilateral programmes of the grant assistance for Ukraine in the period 2014-2020 should amount from 0,83 to 1,01 billion Euros.