Zelensky, EU warn new parliament blockage has put 3.7 billion euros for Ukraine at risk
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The European Commission confirmed on Sept. 2 that the Ukrainian parliament's failure to pass a law on postal packages the day before has put 3.7 billion euros ($4.3 billion) of EU support at risk.
The parliament was supposed to advance new laws to improve Ukraine's tax base on Sept. 1, specifically to eliminate tax exemptions on small packages, but fell 30 votes short of the required majority to advance the key legislation.
The EU intends to give Ukraine 3.7 billion euros under its Macro-Financial Assistance program in the fall, "but there are 12 conditions there, and this law is one of them," European Commission spokesperson Balazs Ujvari confirmed in response to a question from the Kyiv Independent.
"It's a very important law because it plays an important role in mobilizing revenue for the Ukrainian budget. Very much, very much needed," Ujvari said.
"It is important that Ukraine continues with the respective reforms so that we can carry out the disbursements as planned."
President Volodymyr Zelensky criticized lawmakers more forcefully in his evening address on Sept. 1 for failing to advance several reforms that day.
"They may be difficult decisions. They may be unpleasant decisions. They may be unpopular decisions. But they are necessary decisions that help Ukraine get through this time of war," he said.
The president likewise criticized the parliament for blocking EU integration rules, saying that "voting against them, or talking a lot about Europe while not voting for Europe, is dishonest."
"Beyond being dishonest, right now it is also against the state — against the Ukrainian state."
The parliament is also set to consider additional bills on Sep. 2 and 3, many of which are required by the EU and the International Monetary Fund (IMF) for Kyiv to unlock financial support.
Zelensky said the government has set a target date of Nov. 1 to implement 44 such reforms.
