EU Proposes $9.5 Billion to help Ukraine

The European Union's executive body has offered for the first time up to 9 billion euros, or $9.5 billion, to help Ukraine pay its bills until the end of 2022, in line with the plan to provide immediate short-term US relief.

The money comes on top of a €1.2 billion loan from this spring, as Europe along with its allies seek to help President Volodymyr Zelensky to pay debts and keep providing basic services for Ukrainians after the Russian invasion. 

The EU's funding will come from a macro-financial support program and will be a long-term, low-interest loan, guaranteed by the 27 member states. European Trade Commissioner Valdis Dombrovskis has said that the EU will also issue some grants to Ukraine subsidizing the interest rates.

In addition to welcoming several million Ukrainians to the bloc and providing military aid of up to 2 billion euros, the organization has provided humanitarian aid to those arriving in the EU and those left behind, spending a total of 4.1 billion euros ever since the war started.

The International Monetary Fund has estimated that Ukraine needs about $5 billion in aid per month to run the country. The IMF gave $1.4 billion in emergency funding on March 9 to Ukraine. European Commission President Ursula von der Leyen said the EU would begin work on a long-term reconstruction plan for Ukraine, which international organizations predict could cost at least $500 billion.