EU proposes €1bn in financial assistance for Ukraine

The European Commission Wednesday proposed new macro-financial assistance to Ukraine of up to 1 billion euro in medium-term loans.Presenting the proposal at a press conference, EU Commissioner for Economic and Monetary Affairs, Olli Rehn, said "it is in the essential interest of Ukraine and of the EU to maintain peace and political and financial stability in our continent." "This financial aid will help in stabilising the worsening financial situation in Ukraine and therefore will be one vital part of achieving a solution to the crisis," he said.The assistance is conditional on fighting corruption and better financial planning and economics reforms in Ukraine.The proposed new 1 billion euro programme would be implemented in parallel with the existing programme of 610 million euro, which has been available for Ukraine since 2010 but has not yet been released.The new financing programme is expected to be approved by the EU's Council of Ministers in the coming weeks.He reiterated that the EU does not recognize the "illegal and illegitimate" referendum in Crimea and will not recognize the annexation of Crimea by Russia.