EU agrees €50 billion loan for Ukraine, which will support Hryvnia exchange rate EU leaders have agreed to provide 50 billion euros in macro-financial assistance to Ukraine, European Council President Charles Michel said. "The decision, supported by all 27 EU member states, will ensure stable, long-term and predictable financing for Ukraine. The EU, aware of what is at stake, is taking the lead and responsibility in supporting Ukraine," Michel stressed. In 2024, Ukraine will need to attract $37-40 billion in external financing, part of which will be EU assistance. US aid would be very important, the decision on which the Trump-controlled Republicans are delaying to use as an argument in the US presidential election. In January, the revenues of the state budget of Ukraine amounted to UAH 154.9 billion, of which UAH 140.6 billion were internal revenues and UAH 14.6 billion were external revenues, mainly taxes: Taxes - UAH 60.2 bn, customs - UAH 47.3 bn, OVDP - UAH 32.8 billion, international assistance - $0.4 billion (UAH 14.6 billion). The work of the economy (without debts and grants) brought UAH 107.5 billion to the budget, which is a good indicator for peacetime, but now it is a very weak result, as similar volumes remain in the shadows. In January, compared to December, the National Bank reduced the volume of interbank currency sales by 28.7%, from $3.553 billion to $2.533 billion. According to the Ministry of Finance of Ukraine, the state and state-guaranteed debt has doubled since the beginning of the war, reaching $145.3 billion or UAH 5,519.5 billion as of 31 December 2023. In 2023, the government debt grew by 35.4% in hryvnia, or 1,444 billion hryvnias, and by 30.4% in foreign currency, or $33.9 billion. The interbank rate of the dollar remained in the range of 37.5-37.6 UAH/$ this week. Experts believe that the receipt of US and EU aid will allow the hryvnia to remain at the level of 37.5-38 UAH/$, otherwise the exchange rate may rise.

EU countries and Ukraine Will Meet to Solve the Grain Problem

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A meeting of the Coordination Platform for the Export of Ukrainian Grain, consisting of Ukraine, five neighboring countries and other EU member states interested in solving the grain problem, will be held next Thursday to adopt the action plan proposed by Ukraine, European Commission spokeswoman Miriam Garcia Ferrer said, Ukrinform reports.

We have finalized our comments on the Ukrainian action plan, which was presented on Monday during the meeting of the Coordination Platform. The exchanges were very constructive and we saw a very positive way forward. We have sent an invitation to participate in the next meeting of the Coordination Platform next Thursday. We will have the opportunity to finalize this action plan so that it can be operational as soon as possible.” said Ferrer.

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Ferrer reminded that the action plan to address the grain export problem was developed by Ukraine and has various components. They include establishing stricter control over the export of Ukrainian agricultural products, conducting an information campaign to explain to exporters the vulnerability of markets in neighboring countries, summarizing information on end consumers of Ukrainian agricultural products, etc.

The main element of the submitted plan is the introduction of authorization and verification, in other words, licensing of export operations with agricultural products previously subject to protective trade measures by the EU, including wheat, corn, sunflower seeds and rapeseed.

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