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Ukraine will Obtain Additional EUR 55 Million for Reforms in the Area of Regional Development and Decentralisation

The Government of Ukraine and the European Commission will sign a supplementary agreement which will allow obtaining EUR 55 million for the budgetary support for Ukrainian regional policy in 2016-2018.

It is expected that, after the document is signed, Ukraine will obtain the first disbursement in the amount of EUR 25 million in 2016, the second disbursement of EUR 12.5 million in 2017, and the third disbursement of EUR 12.5 million in 2018, as well as EUR 5 million of additional aid for the implementation of reforms in the area of regional development and decentralisation in accordance with the tasks of the State Regional Development Strategy.

Also, the funds will be channelled for the implementation of regional development projects selected on a competitive basis, within the framework of 5 programmes (innovative economy and investments; rural areas development; human potential development; development of tourism; development of all-Ukrainian solidarity) approved by Resolution No. 821 of the Cabinet of Ministers of Ukraine, dated 7 October 2015.

The decision on the execution was made at the meeting of the Government on 6 July when the draft order "On Execution of Supplementary Agreement No. 1 between the Government of Ukraine and the European Commission Acting on behalf of the European Union to the Agreement on Financing the Sector Policy Support Programme - Support to Ukraine's Regional Policy (ENPI/2013/024-517), dated 27 November 2014" of the Cabinet of Ministers of Ukraine was approved.

Vice-Prime Minister - Minister of Regional Development, Construction and Housing and Communal Services of Ukraine Hennadii Zubko was authorised to execute the Supplementary Agreement.

The draft order was prepared by the Ministry of Regional Development in accordance with the Agreement on Financing the Sector Policy Support Programme - Support to Ukraine's Regional Policy between the Government of Ukraine and the European Commission, dated 27 November 2014.

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