Politico: Finance minister says Ukraine will need another $20 billion in 2024

Ukraine will need financial backing from its Western partners next year as the budget needs will remain high, the country's Finance Minister Serhiy Marchenko said on April 29 before joining a meeting of EU finance ministers, Politico reports.

The European Union is providing Kyiv with $20 billion in loans this year to help fill a budget hole estimated at around $3 billion to $4 billion per month. Grants from the U.S. and loans from the International Monetary Fund, as well as other bilateral contributions, make up for the rest.

As Ukraine continues to fight for its freedom, the country's economy is faltering, suffering its sharpest downturn in more than 30 years, with a 30.4% drop in GDP.

"Concerning possible financing needs for 2024, this also will be huge," Marchenko said. "I think that it will not be an easy task for us to decrease drastically our expenses. Of course it depends on the military campaign, but I think it could be no less than the €18 billion as we [had] for this year."

Asked whether the EU was ready to repeat that level of support for next year, EU Economy Commissioner Paolo Gentiloni said that "the discussion about next year from the point of view of figures and exact numbers depends on the discussion we are starting on the budget of the [European] Union, but undoubtedly we will continue our support with the same commitment as we have in recent years."

In February, the EU announced a new $450 million assistance package for 2023, which brings the total financial support to Ukraine from the EU, its Member States and European financial institutions to around $55 billion.