EU Increases Funding for Technical Assistance to Ukraine and Prepares New Trade Agreement

Київ та Брюссель розширюють програми технічного співробітництва до майже €388 млн, а Рада ЄС незабаром схвалить нову торгівельну угоду з Україною.

This week, the Ukrainian government agreed to sign two additional agreements with the European Commission under technical cooperation programs. The first of these pertains to the Technical Cooperation Program, which has been in operation since 2018. The document provides for an extension of the implementation period of this program: execution will continue until July 2026, with final completion by 2028. This will allow for the completion of a number of projects aimed at implementing the Association Agreement between Ukraine and the EU, as well as strengthening support for domestic institutions in the areas of democracy, human rights, and fundamental freedoms.

This is reported by Business • Media

Significant Increase in EU Funding

The second agreement stipulates an increase in the EU’s financial contribution to the Technical Cooperation Program for Ukraine for 2025 by €233.7 million. The total funding for this program will rise to nearly €388 million. European assistance aims to enhance the institutional and administrative capacity of Ukrainian authorities for the effective implementation of reforms and coordination of the country’s recovery processes. Special emphasis is placed on restoring energy infrastructure, strengthening the role of business in economic growth, integration with the EU, and supporting civil society and media.

“EU assistance will contribute to enhancing the institutional and administrative capacity of Ukrainian authorities in implementing reforms and coordinating recovery. In particular, this concerns the restoration of energy infrastructure, strengthening the role of business in economic recovery and integration with the EU, as well as supporting civil society and the media.”

A New Trade Agreement and Continued Liberalization of Transport Expected

During a session of the European Parliament, Elizabetha Siracusa, a representative of the European Commission’s Directorate-General for Agriculture, stated that the EU Council will soon consider and approve a new agreement with Ukraine on a deep and comprehensive free trade area. This step will open additional opportunities for Ukrainian producers and exporters in the European Union market.

In addition, the European Commission has decided to extend the agreement on the liberalization of freight transport for another 15 months — at least until March 2027. This will allow Ukrainian and European carriers to continue operations without the need to obtain special permits for bilateral and transit routes. This decision will ensure the stability of exports from Ukraine, which brings significant revenue to the state budget, and guarantees the uninterrupted supply of critically important goods for the country.