It is still possible Hungary could agree to an EU loan of €18 billion to Ukraine next year, Czech Deputy Foreign Minister Jaroslav Kurfürst said on Sunday.
Hungary is the only EU member state that does not agree with the common EU loan that could provide Ukraine with financial assistance throughout the year 2023.
“It is still possible that Hungary will agree. The decision that has been prepared foresees two options,” Kurfürst told Czech Television.
Should Hungary change its mind, the EU budget will provide guarantees for the loans. If the country does not agree, the guarantees will be provided by the other 26 member states on the basis of bilateral agreements between them and the European Commission.
To solve the issue and take Hungary on board, the Czech EU Presidency is ready to convene an extraordinary meeting of EU finance ministers, Czech Deputy Minister added.
On Saturday, the Council of the EU announced that Ukraine can count on “regular financial help from the EU throughout 2023.” Moreover, it will pass the proposal to the Parliament for possible adoption this week. However, Hungarian participation is still unclear.
Kurfürst hopes that Hungary will still change its mind. It would also be an expression of the bloc’s unity, he believes.
Next year’s loans will have a ten-year grace period, with most of the interest costs covered by member states through external earmarked revenue. The funds are intended to help Ukraine finance its acute needs, rebuild critical infrastructure and begin post-war reconstruction.
(Aneta Zachová | EURACTIV.cz)
Source: euractiv.com
