19 Amendments of Mario BORGHEZIO related to 2015/0005(COD)
Amendment 1 #
Proposal for a decision
Recital 3
Recital 3
(3) The violation of Ukraine's sovereignty and territorial integrity and the resulting military conflict have had damaging effects on Ukraine's already precarious economic and financial stability. Ukraine is facing a difficult balance of payments and liquidity position linked to receding confidence and concomitant capital flight, as well as a worsening fiscal situation as a result of the direct budgetary cost of the conflict, a deeper than expected recession and the loss of fiscal revenues from the areas controlled by the separatists. At the same time, pre-existing structural weaknesses and budgetary and external- financial vulnerabilities have also contributed to the deterioration of the economic situation.
Amendment 3 #
Proposal for a decision
Recital 6
Recital 6
(6) The Union’s macro-financial assistance should bemust be considered an exceptional financial instrument of untied and undesignated balance-of-payments support, which aims at addressing the beneficiary’s immediate external financing needs and shouldmust underpin the implementation of a policy programme containing strong immediate adjustment and structural reform measures designed to improve the balance-of- payments position in the short term.
Amendment 6 #
Proposal for a decision
Recital 13
Recital 13
(13) The determination of the amount of the Union's macro-financial assistance is based on a complete quantitative assessment of Ukraine's residual external financing needs, and takes into account its capacity to finance itself with its own resources, in particular the international reserves at its disposal. The Union's macro- financial assistance shouldmust complement the programmes and resources provided by the IMF and the World Bank. The determination of the amount of the assistance also takes into account expected financial contributions from multilateral donors and the need to ensure fair burden sharing between the Union and other donors, as well as the pre-existing deployment of the Union's other external financing instruments in Ukraine and the added value of the overall Union involvement.
Amendment 7 #
Proposal for a decision
Recital 15
Recital 15
(15) The Union's macro-financial assistance should support the Union's external policy towards Ukraine. Commission services and the European External Action Service shouldmust work closely together throughout the macro- financial assistance operation in order to coordinate, and to ensure the consistency of, Union external policy.
Amendment 8 #
Proposal for a decision
Recital 16
Recital 16
(16) The Union's macro-financial assistance shouldmust support Ukraine's commitment to values shared with the Union, including democracy, the rule of law, good governance, respect for human rights, sustainable development and poverty reduction, as well as its commitment to the principles of open, rule- based and fair trade.
Amendment 9 #
Proposal for a decision
Recital 17
Recital 17
(17) A pre-condition for granting the Union's macro-financial assistance shouldmust be that Ukraine respects effective democratic mechanisms – including a multi-party parliamentary system – and the rule of law, and guarantees respect for human rights. In addition, the specific objectives of the Union's macro-financial assistance should strengthen the efficiency, transparency and accountability of the public finance management systems in Ukraine and to promote structural reforms aimed at supporting sustainable and inclusive growth, employment creation and fiscal consolidation. Both fulfilment of the preconditions and the achievement of those objectives should be regularly monitored by the Commission and the European External Action Service.
Amendment 11 #
Proposal for a decision
Recital 17
Recital 17
(17) A pre-condition for granting the Union's macro-financial assistance should be that Ukraine respects effective democratic mechanisms – including a multi-party parliamentary system – and the rule of law, and guarantees respect for human rights. In addition, the specific objectives of the Union's macro-financial assistance should strengthen the efficiency, transparency and accountability of the public finance management systems in Ukraine and to promote structural reforms aimed at supporting sustainable and inclusive growth, employment creation and fiscal consolidation. Both fulfilment of the preconditions and the achievement of those objectives shouldmust be regularly monitored by the Commission and the European External Action Service.
Amendment 13 #
Proposal for a decision
Recital 18
Recital 18
(18) In order to ensure that the Union’s financial interests linked to the Union’s macro-financial assistance are protected efficiently, Ukraine shouldmust take appropriate measures relating to the prevention of, and fight against, fraud, corruption and any other irregularities linked to the assistance. In addition, provision shouldmust be made for the Commission and OLAF to carry out checks and for the Court of Auditors to carry out audits.
Amendment 14 #
Proposal for a decision
Recital 20
Recital 20
(20) The amounts of the provision required for macro-financial assistance shouldmust be consistent with the budgetary appropriations provided for in the multi- annual financial framework.
Amendment 15 #
Proposal for a decision
Recital 21
Recital 21
(21) The Union's macro-financial assistance shouldmust be managed by the Commission. In order to ensure that the European Parliament and the Council are able to follow the implementation of this Decision, the Commission shouldmust regularly inform them of developments relating to the assistance and provide them with relevant documents.
Amendment 17 #
Proposal for a decision
Recital 23
Recital 23
(23) The Union's macro-financial assistance shouldmust be subject to economic policy conditions, to be laid down in a Memorandum of Understanding. In order to ensure uniform conditions of implementation and for reasons of efficiency, the Commission should be empowered tomust negotiate such conditions with the Ukrainian authorities under the supervision of the committee of representatives of the Member States in accordance with Regulation (EU) No 182/2011. Under that Regulation, the advisory procedure shouldmust, as a general rule, apply in all cases other than as provided for in that Regulation. Considering the potentially important impact of assistance of more than EUR 90 million, it is appropriate that the examination procedure must be used for operations above that threshold. Considering the amount of the Union's macro-financial assistance to Ukraine, the examination procedure shouldmust apply to the adoption of the Memorandum of Understanding, and to any reduction, suspension or cancellation of the assistance,
Amendment 21 #
Proposal for a decision
Article 1 – paragraph 1
Article 1 – paragraph 1
1. The Union shall make macro-financial assistance available to Ukraine ("the Union's macro-financial assistance") of a maximum amount of EUR 1.8 billion, with a view to supporting Ukraine's economic stabilisation and a substantive reform agenda. The assistance shall contribute to covering Ukraine's balance of payments needs as identified in the IMF programme.
Amendment 22 #
Proposal for a decision
Article 1 – paragraph 2
Article 1 – paragraph 2
2. The full amount of the Union's macro- financial assistance shall be provided to Ukraine in the form of loans. The Commission shall be empowered on behalf of the Union to borrow the necessary funds on the capital markets or from financial institutions and to on-lend them to Ukraine. The loans shall have a maximum maturity of 150 years.
Amendment 30 #
Proposal for a decision
Article 3 – paragraph 3
Article 3 – paragraph 3
3. The detailed financial terms of the Union's macro-financial assistance shall be laid down in a Loan Agreement to be agreed between the Commission and the Ukrainian authorities. The European Parliament and the Council, in their capacity as the budgetary authority, shall be notified of that agreement.
Amendment 31 #
Proposal for a decision
Article 3 – paragraph 4
Article 3 – paragraph 4
4. The Commission shall verify at regular intervals that the conditions in Article 4(3) continue to be met, including whether the economic policies of Ukraine are in accordance with the objectives of the Union's macro-financial assistance. In so doing, the Commission shall coordinate closely with the IMF and the World Bank, and, where necessary, with the European Parliament and the Council in their capacity as the budgetary authority.
Amendment 34 #
Proposal for a decision
Article 4 – paragraph 5
Article 4 – paragraph 5
5. The Union's macro-financial assistance shall be disbursed to the National Bank of Ukraine. Subject to provisions to be agreed in the Memorandum of Understanding, including a confirmation of residual budgetary financing needs, the Union funds may be transferred to the Ukrainian Ministry of Finance as the final beneficiary.
Amendment 35 #
Proposal for a decision
Article 5 – paragraph 2
Article 5 – paragraph 2
2. Where the circumstances permit, and if Ukraine so requests, the Commission may take the steps necessary to ensure that aAn early repayment clause ishall be included in the loan terms and conditions and that it is; it must be matched by a corresponding clause in the terms and conditions of the borrowing operations.
Amendment 37 #
Proposal for a decision
Article 5 – paragraph 3
Article 5 – paragraph 3
Amendment 39 #
Proposal for a decision
Article 6 – paragraph 3 – point a
Article 6 – paragraph 3 – point a
(a) ensuring that Ukraine, in consultation with the Commission and OLAF, regularly checks that financing provided from the budget of the Union has been properly used, takes appropriate measures to prevent irregularities and fraud, and, if necessary, takes legal action to recover any funds provided under this Decision that have been misappropriated;