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The European Commission, on behalf of the EU, disbursed €500 million to Ukraine. This is the second and final loan tranche of the EU's €1 billion Macro-Financial Assistance (MFA II) programme for Ukraineapproved earlier this year. This disbursement adds to the €860 million provided so far under the two ongoing MFA programmes forUkraine.

Following today’s disbursement, €250 million remains available under the earlierMFA programme (MFA I). The objective of the MFA programmes is to support Ukraine financially while encouraging important structural reforms aimed at improving governance, delivering sustainable economic growth and supporting legislative harmonisation with the EU. Specifically, the MFA supports reforms in the areas of public finance management and anti-corruption, trade and taxation, the energy sector and the financial sector.

Commissioner for Economic and Financial Affairs, Taxation and Customs Pierre Moscovici said: "Europeis delivering on its commitment of solidarity to Ukraine. We are providing essential financial support at a time of extraordinary economic and social challenges for the Ukrainian people. In turn, it is vitalthe country maintain the momentum of reform so as to create the conditions for sustainableprosperity for all Ukrainians."


The funding for today's disbursement was raised by the European Commission on financial markets on 26 November, by increasing an already existing 15-year-bond. For the EU, this tap marked a new historical record-low yield of 1.363%. The funds have been on-lent to Ukraine on effectively the same terms, offering a long maturity at a very attractive interest rate.