Ukraine expects to get a loan in the amount of EUR 50 million from the Government of Hungary under the terms of tied aid for the implementation of arrangement projects of the Ukrainian-Hungarian border, according to the government`s decision, published on the web portal of the Cabinet of Ministers of Ukraine.
A framework agreement on raising funds was approved at a Cabinet meeting on Wednesday, November 23, and is to be signed today, November 24, during the visit of Ukrainian Prime Minister Volodymyr Groysman in Hungary.
”The agreement envisages the provision of soft loan to Ukraine to finance 100% of the cost of contracts for the supply of goods, works and services from Hungary to Ukraine for construction, overhaul, and repair of road sections of the Ukrainian-Hungarian border,” a memorandum to the government decision says.
Earlier, Deputy Finance Minister Oksana Markarova said, commenting on the need for the decision, that the soft loan is allocated on conditions very favorable for Ukraine.
”This is EUR 50 million at a zero rate for the period of 18.5 years, which will make it possible to have many things done that are needed on the common border,” Markarova said.
As UNIAN reported earlier, at the end of 2015, the government of Poland provided Ukraine with a similar loan for equipping the border. The loan amounted to EUR 100 million.