Establishing the Ukraine Facility

Committee on Foreign Affairs, Committee on Budgets

European Parliament legislative resolution of 27 February 2024 on the proposal for a regulation of the European Parliament and of the Council on establishing the Ukraine Facility (COM(2023)0338 – C9-0210/2023 – 2023/0200(COD))

(Ordinary legislative procedure: first reading)

The European Parliament,

–having regard to the Commission proposal to Parliament and the Council (COM(2023)0338),

–having regard to Article 294(2) and Articles 212 and 322(1) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C90210/2023),

–having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–having regard to the provisional agreement approved by the committees responsible under Rule 74(4) of its Rules of Procedure and the undertaking given by the Council representative by letter of 14 February 2024 to approve Parliament’s position, in accordance with Article 294(4) of the Treaty on the Functioning of the European Union,

–having regard to Rule 59 of its Rules of Procedure,

– having regard to the joint deliberations of the Committee on Foreign Affairs and the Committee on Budgets under Rule 58 of its Rules of Procedure,

– having regard to the letters from the Committee on Budgetary Control and the Committee on Agriculture and Rural Development,

–having regard to the report of the Committee on Foreign Affairs and the Committee on Budgets (A9-0286/2023),

1.Adopts its position at first reading hereinafter set out;

2.Approves the joint statement by Parliament and the Council annexed to this resolution, which will be published in the C series of the Official Journal of the European Union;

3.Approves the joint statement by Parliament, the Council and the Commission annexed to this resolution, which will be published in the C series of the Official Journal of the European Union;

4. Calls on the Commission to refer the matter to Parliament again if it replaces, substantially amends or intends to substantially amend its proposal;

5. Instructs its President to forward its position to the Council, the Commission and the national parliaments.

P9_TC1-COD(2023)0200

Position of the European Parliament adopted at first reading on 27 February 2024 with a view to the adoption of Regulation (EU) 2024/… of the European Parliament and of the Council establishing the Ukraine Facility

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Regulation (EU) 2024/792.)

ANNEX TO THE LEGISLATIVE RESOLUTION

Joint statement by the European Parliament and the Council on the appropriate budgetary nomenclature for the Ukraine Facility

Without prejudice to the prerogatives of the budgetary authority in the framework of the annual budgetary procedure and to the Commission’s powers to establish the draft budget, the European Parliament and the Council invite the Commission to propose the creation of at least one budget line for Pillar I of the Ukraine Facility, two budget lines under Pillar II, including for the provisioning of the Common Provisioning Fund for the Ukraine Guarantee established under Chapter IV of the Ukraine Facility Regulation, three budget lines under Pillar III for the Union accession assistance and other measures, the borrowing costs subsidies and the provisioning of the Common Provisioning Fund – Legacy, and a specific budget line for technical and administrative assistance expenditure for the implementation of the Facility

Joint statement of the European Parliament, the Council and the Commission relating to the exceptional nature of the Ukraine Facility

The European Parliament, the Council and the Commission share the view that the Ukraine Facility is an exceptional medium-term instrument of high geopolitical importance adapted to the uncertainty and unprecedented challenges of supporting a country at war with direct implications for the security of the Union. As a result, the Ukraine Facility provides a balance between flexibility and programmability of the Union´s response to address Ukraine´s financing gap, recovery, reconstruction and modernisation needs, while supporting Ukraine´s reform effort as part of its accession path to the Union. The objectives, financing and governance arrangements agreed for the Ukraine Facility respond to the exceptional and specific context and challenges in relation to which this particular Facility has been adopted.

This solution for Ukraine should not therefore be considered as a precedent for future instruments of economic assistance to third countries.