EU pays out first loan tranche to Ukraine

[dipsydoodle]

Source: Reuters

(Reuters) - The European Commission paid out a first loan tranche of 100 million euros ($137 million) to Ukraine on Tuesday, launching a 1.6 billion euro macro-financial assistance loan program to prop up the beleaguered economy, the EU executive said.

The loans are part of the European Union's 11 billion euro package announced in March.

Another 500 million euro payment is now being prepared and any further payments will depend on Ukraine meeting policy conditions outlined in an agreement with the International Monetary Fund.

A Reuters poll showed the Ukrainian economy will slide deeper into recession this year as a pro-Russian rebellion cripples activity in the industrial east and scares off foreign investors.

Read more: http://www.reuters.com/article/2014/05/20/us-ukraine-crisis-loan-idUSBREA4J0DT20140520

[cosmicone]

1. It's like throwing money in a paper shredder n/t

[Mika]

2. Paper shredder = IMF cronies. eom

[pampango]

3. A lot of the money goes to Russia to pay gas debts. Russia does not consider itself

to be a paper shredder.

[cosmicone]

4. That's the point

Money in, money out -- nothing for Ukraine or for EU.

[Anarcho-Socialist]

5. The EU is going to make money on it

Ukraine's manufacturing and heavy industries (predominantly located in the east) are being opened up to German competition through the EU agreement in which Ukraine's industries will get slaughtered.

[pampango]

6. As will Russia. Ukraine gets 'austerity' from both sides. n/t

[Nihil]

8. "Money in, money out -- nothing for Ukraine"?

You mean "nothing other than all of the gas that they've consumed but never paid for"?

[JackRiddler]

7. Entirely the "pro-Russian" fault, says Reuters.

Not that a blind kleptocracy of oligarchs has replaced the prior blind kleptocracy of oligarchs in a coup d'etat, and set up a coalition of neoliberals working with Nazis, and promptly stoked ethnic antagonism by making language into an issue.

No, no, any problems in Ukraine are due to "pro-Russians."