EU sets up Investment Framework under Ukraine Facility

MOSCOW. April 18 (Interfax) - The European Union has set up the Ukraine Investment Framework as a financial arm and an integral component of the 50-billion-euro Ukraine Facility, which seeks to incentivize public and private investments in Ukraine's recovery and reconstruction, the Ukrainian media reported, citing the European Commission on Thursday.

"At the inaugural meeting of the Steering Board of the Ukraine Investment Framework, on 17 April, the EU member states adopted the rules of procedure and the Strategic Orientations for the Ukraine Investment Framework, kick-starting work on the first investment programs, expected to be signed at the Ukraine Recovery Conference on 11 and 12 June in Berlin. The Board provides strategic and operational guidance and ensures its alignment with the Ukraine Plan, Ukraine's strategy for reforms and investments in the next four years, which has been positively assessed by the Commission this week," the statement said.

The Ukraine Investment Framework includes a financial package totaling 9.3 billion euros, with 7.8 billion euros for loan guarantees and 1.51 billion euros for blended finance. The Ukraine Investment Framework is expected to mobilize up to 40 billion euros in public and private investments over the next years.

"The Ukraine Investment Framework will focus on assisting small and medium-sized enterprises, municipalities, and regions, rebuilding infrastructure, and foster the green and digital transitions. Rebuilding Ukraine means rebuilding the country according to EU rules and standards. So, as we support Ukraine in its accession path, we also strengthen the investment environment based on our rules and standards so that growth and jobs can thrive," European Commissioner for Neighborhood and Enlargement Oliver Varhelyi said at the Ukraine's Future Summit in Brussels on Thursday.