{"id":10253,"date":"2022-10-08T11:35:08","date_gmt":"2022-10-08T11:35:08","guid":{"rendered":"https:\/\/loans.tiida-nissan.ru\/?p=10253"},"modified":"2022-12-08T18:40:40","modified_gmt":"2022-12-08T18:40:40","slug":"fight-against-ukrainian-corruption-eu-billion-aid","status":"publish","type":"post","link":"https:\/\/loans.tiida-nissan.ru\/fight-against-ukrainian-corruption-eu-billion-aid.html","title":{"rendered":"Fight against Ukrainian corruption: EU billion aid with conditions"},"content":{"rendered":"

\"Fight<\/div>\n<\/p>\n

In the last study before the Russian attack, experts ranked Ukraine among the most corrupt states in Europe. Since the beginning of the war, Kiev receives billions from the EU – against the guarantee to tackle reforms.<\/p>\n

The European Union wants to provide quick and non-bureaucratic assistance to the war-stricken Ukrainian population. After the Russian invasion began in late February, the community significantly increased its aid and announced more to come. In the process, the EU must ensure that its taxpayers' money does not disappear into dark channels.<\/p>\n

Jakob Mayr
ARD Studio Brussels<\/p>\n

On a visit to Kiev in June, Commission chief Ursula von der Leyen acknowledged progress – and demanded more from President Volodymyr Selenskyj: "You have done a lot to strengthen the rule of law, but more reforms need to be implemented, for example, to fight corruption or modernize the well-functioning administration to attract investors."<\/p>\n

The administration was in place, the reform program Ukraine had undergone in recent years was bearing fruit – it now needed results.<\/p>\n

Commission: funds are tied to requirements<\/h2>\n

Since the start of the war, the EU has disbursed a total of 19.7 billion euros to Ukraine, not including military aid, according to Commission Deputy Head Valdis Dombrovskis. The so-called macro-financial assistance of up to nine billion euros is intended to help Kiev avert state bankruptcy and cover running costs, such as paying wages and pensions and keeping transport links running. These macro-financial aids are essentially loans on very favorable terms, but they must be repaid in principle.<\/p>\n

For the coming year, the EU holds out the prospect of a loan package worth up to 18 billion euros. According to the Commission, the money will only flow if Kiev meets certain requirements. Those are set out in a May Memorandum of Understanding: The Ukrainian government must demonstrate satisfactory progress on issues such as selecting candidates for supervisory boards of state-owned banks, fighting nepotism in the judiciary, and strengthening the anti-corruption prosecutor's office.<\/p>\n

In early November, Commission Vice-President Dombrovskis presented the aid program for 2023 and stressed: "Our support will be linked to sectoral and institutional reforms, especially those related to the fight against fraud and corruption and strengthening the rule of law."<\/p>\n

Commission Vice-President Valdis Dombrovskis: support is also linked to fight against fraud and corruption.<\/p>\n

Brussels reviews spending and control mechanisms<\/h2>\n

The Commission says it is taking a close look at financial structures in the country. It wants "adequate guarantees on the functioning of administrative procedures and financial circuits" before disbursing EU funds.<\/p>\n

Specifically, Brussels says it monitors what Kiev spends money on and how it monitors the allocation of funds. "The Ukrainian authorities have committed to adequately and expeditiously address all identified shortcomings," a Commission spokeswoman stressed. Kiev must also report accurately on the use of the billions pledged for 2023.<\/p>\n

Praise for EU approach from civil society<\/h2>\n

Ukrainian civil society praises EU approach of linking funding to progress on reforms. Olena Haluska of the Anti-Corruption Action Centre, an anti-corruption non-governmental organization, explains: "Since 2014, all funds received by Ukraine as macro-financial assistance have been conditioned on the implementation of very clear anti-corruption requirements. This has contributed to the establishment of new anti-corruption agencies to investigate and prosecute corruption in high places."<\/p>\n

Therefore, it is convinced that the same model of conditionality for the new macro-financial assistance program would in any case strengthen anti-corruption conditions and ensure that all funds are properly used.<\/p>\n

Before the war: tough expert verdict on Ukraine<\/h2>\n

In case of irregularities, theoretically competent EU institutions could intervene – for example, the European Anti-Fraud Office (OLAF) may conduct investigations in Ukraine. The European Public Prosecutor's Office (EPPO) could also collect evidence in Ukraine based on international agreements. In March, EPPO and the Ukrainian Prosecutor General's Office signed a cooperation agreement. However, OLAF and EPPO do not act preventively, but only when they learn of irregularities.<\/p>\n

Before the war, experts' verdict on Ukraine's anti-corruption record was scathing. The country is ranked 122 out of 180 in Transparency International's index. Only in one country on the European continent does the situation look worse – Russia. The ranking shows how corrupt the public sector of a state is in the eyes of experts and businessmen.<\/p>\n

"Pandora Papers": revelations also hit Selenskyj<\/h2>\n

According to a report by the European Court of Auditors (ECA), corruption and the capture of the state by private interests are also widespread in Ukraine. The EU has not developed a real strategy for this, it should have intervened more harshly, says the special report of September 2021, but according to an ECA spokesman, it no longer reflects the current state of affairs.<\/p>\n

Also in 2021, the "Pandora Papers" revealed that Selenskyj used shell companies to conceal assets and maintained contacts with an oligarch accused of committing billion-dollar fraud.<\/p>\n","protected":false},"excerpt":{"rendered":"

In the last study before the Russian attack, experts ranked Ukraine among the most corrupt states in Europe. 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