Granting of EUR 1 billion macro-financial assistance to Ukraine

In June 2014 the European Union disbursed EUR 500 million for Ukraine, the first tranche under the new macro-finance program – MFA-II, in the aggregate amount of EUR 1 billion that the EU pledged to help the country’s struggling economy.

Vasil Kisil & Partners acted as a sole legal advisor to the European Union on granting of this macro-financial assistance to Ukraine.

In May 2014, the Memorandum of Understanding and the Loan Agreement were entered into by Ukraine, as a borrower, the National Bank of Ukraine, as an agent to the borrower, and the European Union, as a lender regarding the loan in the total amount of EUR 1 billion. Both above documents were ratified by the Ukrainian Parliament on May 20th 2014. The first installment of the macro-financial assistance was transferred to the state of Ukraine on June 17th. The outstanding amount of the loan is expected to be granted within the course of 2014.

Vasil Kisil & Partners advised the European Union represented by the European Commission, on the Ukrainian law and international law matters of the transaction. In particular, the lawyers were actively involved in drafting of the transaction documents, controlled fulfillment of conditions precedent to completion of the transaction and issued a legal opinion in favour of the lender.