EU ties part of Ukraine $134 billion aid to unpopular tax measure
The European Union is linking part of a €90 billion aid package for Ukraine to a controversial tax measure. This tax change, which has been met with significant public opposition, is necessary for Ukraine to receive the macro-financial assistance. The Ukrainian government is currently working to finalize the loan agreement and its conditions before it is presented to Parliament for ratification.
- ▪The EU's aid package includes a requirement for Ukraine to adopt a tax measure expanding the share of foreign parcels subject to a 20 percent value-added tax.
- ▪Ukraine is expected to receive the first payout from the aid package in June, with subsequent payments scheduled for September and December.
- ▪The tax amendment has faced strong opposition from Ukrainians, raising doubts about its approval in Parliament.
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| Original publisher | Straits Times — World |
| Canonical URL | https://www.straitstimes.com/world/europe/eu-ties-part-of-ukraine-134-billion-aid-to-unpopular-tax-measure |
| Publication time | Tue, 19 May 2026 09:58:00 +0800 |
| Retrieval time | 2026-05-19T02:04:57.097Z |
| Last seen | 2026-05-19T02:04:57.097Z |
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EU ties part of Ukraine $134 billion aid to unpopular tax measureSign up now: Get ST's newsletters delivered to your inboxUkraine’s Finance Ministry said the government continues to work on finalising the EU loan agreement and its conditions before it is ratified by Parliament. PHOTO: REUTERSPublished May 19, 2026, 09:58 AMUpdated May 19, 2026, 09:58 AMBRUSSELS – The European Union will tie some payouts from the €90 billion (S$134.12 billion) aid package for Ukraine to an unpopular tax change already demanded by the International Monetary Fund, people familiar with the matter said.The tax requirement will apply to the so-called macro-financial portion of the loan worth €8.4 billion, they said.EU member states on May 18 agreed to the conditions for the macro-financial assistance programme,…
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