Public finance management (PFM) is a priority area for the EU – Ukraine relations. Strong PFM systems are essential for sound management of taxpayers’ money and for effective and sustainable economic management, trade and business climate, and public service delivery. The proposed EU assistance programme on PFM will provide a major impetus to the implementation of the Government Public Finance Management (PFM) strategy and PFM reform action plan.

In line with Ukraine's commitments under the EU-Ukraine Association Agreement and the International Monetary Fund (IMF) programme, the following reform areas for the EU support programme in the area of public finance have been identified: (i) budget process, accounting, control and accountability, (ii) efficient budget spending, (iii) revenue mobilisation (tax and customs administration) and Financial Investigation Service, and (iv) horizontal institutional capacity building for PFM.