| Author (Corporate) | Council of the European Union, European Parliament |
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| Series Title | Official Journal of the European Union |
| Series Details | L103, 23.04.18 |
| Publication Date | 23/04/2018 |
| Content Type | Legislation |
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Further information: The European Commission proposed on 29 September 2017 a third Macro-Financial Assistance (MFA) programme to Georgia of up to €45 million. Of the total amount, up to €10 million would be provided in the form of grants and up to €35 million in loans. The operation is aimed at reducing the economy’s short-term balance of payments and fiscal vulnerabilities. The MFA programme was set to work in coordination with the adjustment and reform programmes Georgia agreed with the International Monetary Fund (IMF) and the World Bank, as well as with the reforms agreed in the context of the EU’s budget support operations and the Deep and Comprehensive Free Trade Area (DCFTA). Background information: Macro-financial assistance is a form of financial aid extended by the EU to partner countries with balance of payments difficulties. It is only available to countries benefiting from support from the IMF. This is the third operation for Georgia since the country's military conflict with Russia in August 2008. The EU's first two macro-financial assistance operations, amounting to €46 million each, were pledged at an international donors' conference in October 2008. The EU also provides assistance under its neighbourhood policy. Georgia joined the EU's Eastern Partnership in 2009. An EU-Georgia association agreement, which provides for the gradual introduction of free trade provisions, entered into force on 1 July 2016. The government of Georgia requested Macro-Financial Assistance (MFA) from the EU on 16 June 2017. In light of this request and the economic situation in the country, the Commission submitted to the European Parliament and the Council of the European Union a proposal for MFA to Georgia. The Parliament approved it on 14 March 2018 and the Council endorsed it on 12 April 2018. |
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| Source Link | http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2018.103.01.0008.01.ENG |
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| Countries / Regions | Europe, Georgia |
