MEPs debate on the establisment of the Ukraine Facility, a €50 billion package to support Ukraine's recovery, reconstruction and modernisation from 2024 to 2027. MEPs have improved the proposal by strengthening transparency and democratic accountability. One of the key demands is that Russian assets should be used to fund Ukraine’s reconstruction. Opening statements by Michael GAHLER (EPP, DE) and Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteurs and by by Johannes HAHN, European Commissioner for Budget and Administration. This transcription is a result of an automatic process. Please check against delivery.

EU - Ukraine (T)

statement

Strasbourg

debate

plenary session

GAHLER, Michael (EPP, DE)

HAHN, Johannes (AT, EC)

GARDIAZABAL RUBIAL, Eider (S&D, ES)

solidarity with Ukraine (T)

Establishing the Ukraine Facility: opening statements by Michael GAHLER (EPP, DE) and Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteurs, and by Johannes HAHN, European Commissioner for Budget and Administration

https://api.multimedia.europarl.europa.eu/documents/20125/72689145/1697118661295_I247253Chapters%5BSD-EN%5D.srt

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, President, I am delighted to be here this evening, Honourable Members, and to be able to present our work on the Ukraine Facility to you and to the Commission, we had a Joint Committee of the meeting of AFET and BUDG. We saw broad consensus in the vote.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, That has been the case since the start of the appalling war of aggression that Russia launched on Ukraine. We have a clear political message that has been sent. We are clearly standing shoulder to shoulder with Ukraine and that is a clear message to our Member States and to the aggressor. We will stand by Ukraine during the war, during reconstruction, and as they prepare to join the European Union, Mr. Putin, Ukraine will never return to the gulags.

SOUNDBITE (English) Roberta METSOLA, EP President, 'I would like to thank my co-Rapporteur Eider GARDIAZABAL RUBIAL, representing the Committee on Budgets, and I'd like to thank her for the excellent cooperation and constructive cooperation that facilitated discussions. I would also like to thank the shadow rapporteurs in the two Committees, I would like to thank them for all their contributions and commitments.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, We worked under time pressure. We want to get this regulation sealed by the end of the year. We need this debate today and a vote tomorrow. That wouldn't have been possible without the huge effort deployed by our staff and various teams in the committees and in our MEP offices. The Ukraine Facility will help with the rebuilding renewing Ukraine and enabling it to join the European Union. It sets ambitious goals.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, We will work together with Ukraine on a common European future to allow Ukraine to rebuild its country. It needs to table a Ukraine plan, a masterplan. This will be prepared by the government, together with regional authorities and civil society.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, The ultimate say on the plan in Ukraine will go to the Verkhovna Rada. The Ukrainian Parliament extensive rebuilding and modernising of Ukraine cannot be achieved through public coffers alone. We also need to see grants so and investment by the private sector. We need to get that investment to Ukraine soon at the what might expect in war times. And so we want to ensure support for Ukrainian SMEs.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, Honourable Members, Ladies and gentlemen, €50 billion. That is a huge sum of money. A real show of solidarity from the European Union. We will look at two security measures and we will take safeguards to prevent corruption and misuse of funds.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, We are demanding transparency and scrutiny and have made proposals to ensure those ends. It is encouraging and it makes sense to ensure that civil society organisations in Ukraine are involved. They will carry out monitoring work where States and European structures are overwhelmed. Ukraine already has extensive experience through the partnership principle.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, Ladies and gentlemen, it is extremely important that Ukraine, not just wins the war, but also strengthens democracy at all levels to ensure prosperity for its citizens with the help of the European Union. Slava ukraini.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, Thank you, President. Commissioner, colleagues. Since the outset of the Russian aggression on Ukraine, we have been mobilising funds to support politically, economically and socially Ukraine. And this facility is a priority. That is why it is necessary and urgent for us to approve this new mechanism for 50 billion in grants and loans.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, Now, the Russian aggression against Ukraine has caused economic damage, multimillion in damage, and when it comes to the public revenues necessary to stand up to this aggression and to maintain the services, we have seen an enormous increase.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, Now, you would agree then that the Russians would pay for the damages caused to Ukraine, and that is why we are requesting that the Commission establish a legal basis, along with other institutions, to be able to confiscate the Russian assets for the purposes of reconstruction and to compensate the victims of the aggression.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, All of that that has been confiscated would be then used through this facility that we are discussing, a facility that will include a number of different support programs with a better coherence and consistency.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, We are giving a predictable instrument to Ukraine to be able to maintain its public services and assist in the rebuilding and modernisation of the country. We will also be supporting a reform plan for Ukraine and on its path to the EU, along with civil society and local authorities. A plan must be established that would then be adopted. This plan, much like the RRF will have a long and detailed list of reforms and investments with the specific milestones and dates.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, The objective is also to invest in the Ukrainian economy, making sure that it is digital, green and integrated. Now, this means that people will have dignified living conditions in the country. Critical infrastructure will be established and will be able to make sure that there are good jobs in the future. It is clear that there are major challenges that Ukraine will face to be able to move on its path to EU accession.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, This Facility is a is a step in that direction. Ukraine, of course, needs to shore up its rule of law and its law enforcement. Fighting corruption and fighting organised crime and oligarchs. It must fight money laundering as well as tax evasion and avoidance, as well as access to information.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, Rebuilding is a long term objective. It's extremely ambitious and at the time we don't know exactly what it will require. But, what we do need to be able to do is count both on the private and the public sector as well as international institutions, Member States, as well as the European Investment Bank.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, We would like to have a specific pillar that will be set aside for the coordination of all of these players, with strong attention being paid to small and medium sized corporations.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, Finally, the facility has another pillar that will mean that we will give technical support to the townships and to civil society, much like what took place during the RRF during the pandemic. What the EU needs to be able to do is not just support Ukraine economically, but do this through a consistent instrument that is flexible and with specific investments in modernisation as well as reform in the medium and the long term.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, So now here we are and we hope that we will be able to negotiate with council as quickly as possible so that this will take force in 2024. Thank you very much.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, The Union has been consistent in its support to Ukraine since the beginning of Russia's war of aggression. So far, together with our Member States, we have provided more than €80 billion. So humanitarian aid, economic and military assistance, as well as support for Ukrainians who have sought refuge in the Union.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, 'The EU is committed to continue supporting Ukraine for as long as it takes. This is why, as part of the revision of the EU's Multiannual Financial Framework, we have proposed a new €50 billion Ukraine Facility aimed at ensuring predictable medium-term support for the country's Recovery and Reconstruction.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, The Facility will be closely tied to key reforms that Ukraine needs to implement on its EU Accession Act. Support under the Facility will be based on Ukraine's fulfilment of conditions. The Facility has been designed to enable the Union to provide different forms of support to Ukraine while ensuring the necessary flexibility to respond to the circumstances on the ground as to might evolve.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, The government of Ukraine will need to prepare a plan for recovery, reconstruction and modernising fashion, detailing the reforms and investments it intends to undertake, which also need it as part of its EU accession process to ensure predictability of funding. Support under the facility will be provided in line with the focus Ukraine will make in delivering on this plan.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, 'We are already working with Ukraine to facilitate preparing the plan. It is important that the support from key donors to Ukraine remains well coordinated and coherent, only so can it be used to the maximum. Since January this year, we are engaging with key donors through the G7 Multi-Agency Donor coordination platform. We are encouraging other donors to use the future plan as a reference point in providing their assistance.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, Our proposed Ukraine facility also includes a robust framework for transparency, audit and control to ensure the protection of EU financial interests. A dedicated audit board consisting of independent members appointed by the Commission will assist the Commission by reporting on the possible mismanagement of the funds spent to achieve the objective of the facility and by making recommendations to Ukraine.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, Honourable Members, the war continues in Ukraine needs support in the form of fresh funding, support that will not risk adding to the country's debt burden. Support to get its economy on track so that in the long run it will be less dependent on donors and can increasingly stand on its own feet.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, 'Support to crowd in private investment and support to keep Ukraine firmly on its accession track with consistent focus on reforms. The Commission is grateful to the European Parliament and in particular to the two co-rapporteurs for the speed with which they have advanced on the draft report that will be voted understand tomorrow.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, It's crucial to reach an agreement before the end of this year to ensure that Ukraine can continue to receive our support already at the beginning of next year. So, we hope that the Council will also proceed swiftly so the trilogues could start as soon as possible.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, The Commission will continue to play its role to ensure that the next steps of the negotiations deliver a balanced and ambitious instrument that can signal the Union's steadfast support for Ukraine. Thank you.