Brussels, May 20 (IANS): The European Union (EU) Tuesday disbursed its first loan tranche of 100 million euros ($137 million) to Ukraine, marking the start of its financial assistance to the country.
The assistance is part of the EU's macro-financial assistance (MFA) programme for Ukraine worth 1.61 billion euros in total, aimed at reducing the economy's short-term balance of payments and fiscal vulnerabilities, Xinhua reported Tuesday.
According to the EU, a further 500 million euros is expected to follow in the coming weeks once necessary legal procedures in Ukraine have been finalised, notably the ratification of the memorandum of understanding and of the loan agreement by the Ukrainian parliament.
European Commission Vice-President Siim Kallas is visiting Kiev Tuesday for a series of meetings with top Ukrainian officials to discuss the MFA programme and related economic reforms.
The MFA programme is part of the Ukraine aid package announced by the Commission March 5 and endorsed by the European Council the following day, an EU statement said.