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Macro-Financial Assistance to non-EU partners, especially in case of Western Balkans and Ukraine, is essential to overcome the consequences of the Covid-19 pandemic

2020. 06. 02.

At today’s plenary session, the European Parliament (EP) voted for providing €3 billion Macro-Financial Assistance (MFA) to the EU’s ten enlargement and neighborhood partners. The Support has the goal to help these countries to overcome their balance of payment crisis via medium-term loans: with the Assistance their increased room for maneuver can be used to combat the economic crisis caused by the COVID-19 pandemic. In return, they are expected to commit themselves to European values and reforms.

Fidesz MEP Enikő Győri, responsible for trade relations with the Western Balkans and Ukraine, emphasized: “Neither the virus nor its economic consequences respect national borders. It is in our best interest that the pre-accession countries and the Union’s neighbours are capable of recovering as soon as possible. We support the efforts of these countries, which are now fighting to protect human lives and their economies. By advancing the economic and social stability of our neighboring regions, we are strengthening  the security of EU Member States.”

Enikő Győri added: “I hope that the support will help the pre-accession countries of the Western Balkans to survive the crisis and will open their way to devote their resources to reforms that will accelerate their catching-up with the EU. We must not forget that there is still a geostrategic hole between Hungary and Greece. If we do not care enough, there will be other great powers that certainly will. By acting quickly, we are sending an important message to these countries: we are listening to them and we will not leave them alone in this time of unprecedented crisis” the MEP pointed out.

Andrea Bocskor, politician of EPP, highlighted that three associated countries within the Eastern Partnership (EaP) are also part of the ten beneficiary countries of the EU’s Macro-Financial Assistance. Thus, Georgia receives €150 million, the Republic of Moldova €100 million and Ukraine €1,2 billion. The economies and stability of these three countries are severely affected by the coronavirus crisis, which was the reason why the Commission decided to provide emergency aid for them. EU’s macro-financial assistance is key as it contributes to strengthening the values shared within the Union, such as democracy, the rule of law, good governance, and respect for human rights, contributes to sustainable development. And it plays a significant role in preventing the economic collapse of the countries mentioned above.

In Ukraine, macro-financial stability has come under renewed pressure, especially after the abrupt government reshuffle beginning in March coincided with the outbreak of the global coronavirus crisis. For this reason, the European Union had previously to MFA already earmarked €190 million aid to alleviate the damage caused by the epidemic and to help the health sector and the economy.

“EU’s Macro-Financial Assistance is an important signal of the European Union, expressing the importance of the Eastern Partner countries and that even in this emergency, Ukraine, Georgia and Moldova can count on European help. Ukraine has always received priority support from the EU, and it happened again. A favourable loan of €1,2 billion is the key to mitigating the negative social and economic impact of the coronavirus epidemic in the country, for which it can be rightly expected in return that Ukraine does not deviate from the path of reforms, takes the fight against corruption and the approximation to the principles of the democracy and rule of law seriously, and commit itself to respect, guarantee and fulfil basic human and minority rights in the implementation of reforms” − stated Fidesz MEP Andrea Bocskor.