The German government has allocated Kiev loans totaling five hundred million euros for the reconstruction of infrastructure in Eastern Ukraine, informs the press service of the Ukrainian Cabinet of Ministers.
"The signing ceremony of the Memorandum of understanding between the government of Ukraine and the government of the Federal Republic of Germany in respect of incorrect financial loan framework agreement between government of Ukraine and the credit institution (KfW) on granting individual loans totaling up to five hundred million euros was held in Berlin on Wednesday, 1 April," according to the report on the Internet office of the Cabinet.
These funds will be directed to the restoration and modernization of the Eastern part of Ukraine, among them the new construction, restoration, overhaul and modernization of the infrastructure of any form of ownership in the fields of transport, energy and heat, energy efficiency, water supply, sanitation, social infrastructure, rehabilitation and construction of housing ", the report says. In accordance with the signed documents to individual loans will be used to pay for projects in the territories of Donetsk, Luhansk, Dnipropetrovsk, Zaporizhia and Kharkiv oblasts and other regions of Ukraine, where a large number of registered internally displaced persons. Additional financial resources are allocated by the KfW Bank in June 2015. The deadline for repayment of the loan up to fifteen years, a grace period will be 5 years. Yesterday, the Council of the European Union blessed the allocation of Ukraine of a new macro-financial assistance package of $ 1, 8 billion euros. On the same day it was announced that Poland has committed us $ 100 million long-term loan for the construction of roads. In Kiev told also that the world Bank wants to provide for the construction of roads Poltava-Kharkov 800 million dollars. On Tuesday, the head of Barack Obama blessed allocation of the next tranche of nearly 88 million to help Ukraine. 20 March, it was announced that Turkey will give Ukraine a loan of $ 50 million dollars to cover the budget deficit March, the Ministry of Finance of Ukraine assured the admission of the first tranche in the amount of $ 5 billion in new loan program international monetary Fund. Just this year she was promised $ 10 billion. This IMF loan to replenish its gold reserves and not fully paying gas debts, the IMF tranche cannot be used for social needs.