EU readies 20 billion euros plan to fund Ukraine – FT

(Reuters) – The European Union is preparing a back-up plan worth up to 20 billion euros ($22.08 billion) for Ukraine, the Financial Times reported.

The debt-funded scheme would sidestep Hungary to release money for Kyiv quickly, the report said.

This scheme would involve participating member states issuing guarantees to the EU budget, enabling the European Commission to borrow up to €20bn on capital markets for Kyiv next year, people briefed on the talks said. The precise terms are still under discussion and the final amount would be set according to Ukraine’s needs, they added. The arrangement is similar to the structure used in 2020 when the commission provided up to €100bn in cheap financing to EU countries for short-term work-support schemes during the Covid pandemic.

($1 = 0.9058 euros)