The European Commission has established a special Audit Board to monitor the allocation of billions of dollars given to Kiev under the EU’s plan for financing Ukraine amid its conflict with Russia. Announced on Monday, the Brussels-based board will work until mid-2028 and provide regular updates to the EU Commission about any suspicious activities.
In February, EU members agreed to offer Kiev up to €50 billion ($54 billion) between 2024 and 2027 as part of the Ukraine Facility program. The funding aims to finance modernization and reconstruction in Ukraine, maintain uninterrupted public services for its population, and implement reforms necessary for EU membership.
The European Commission will source €33 billion through bond issuance, while the remaining €17 billion could come from non-repayable support, potentially generated by Russian assets frozen by the EU after the start of the conflict. Moscow has consistently condemned the asset freeze as “theft.
To receive the funding, Kiev must significantly strengthen its rule of law and democratic institutions, which have been plagued by corruption for years. The Pentagon Inspector General reported in a recent study that corruption in Ukraine is “endemic,” with the government being “one of the least accountable” in Europe.
The European External Action Service also highlighted concerns about corruption in Ukraine in its 2023 report, noting that while progress has been made in increasing anti-corruption efforts, there is still more work to be done. The Audit Board’s role will be crucial in ensuring transparency and accountability throughout the distribution process.