Ukraine needs $3 billion more in 2024 despite ‘outstanding’ economic management – IMF

Ukraine has shown remarkable results in economic management during times of war, she said.

"We have identified that the needs for the next year will be slightly higher than we initially assumed, approximately $3 billion more. I firmly believe that our investments in Ukraine are not acts of charity, but investments.” said on Oct. 11 during the fourth roundtable of ministers supporting Ukraine held within the IMF and World Bank meetings in Marrakech.

The Ukrainian government estimates a need for external financing of $42.9 billion for the next year due to Russia’s war in Ukraine. These investments are in the Ukrainian people, the regional economy, and a message that "no war should be allowed to shattera nation.

"The preliminary results of the mission to prepare the second review of the IMF's Extended Fund Facility (EFF) program indicate that economic management in the country, despite the conditions of war, is outstanding. 

Economic recovery is happening faster than expected, with growth likely to be at the upper end of the IMF’s forecast at 3% this year. Structural reforms, which are challenging even during peacetime, are being implemented during wartime. The National Bank of Ukraine (NBU) is shifting from a fixed exchange rate regime to a flexible one, demonstrating strength.

 "All of this is very good. But it will be sustainable only with our unwavering support," Georgieva added.

Ukraine's external financing has already reached $32.6 billion since the beginning of 2023 and $63.7 billion since Feb. 24, 2022. It is expected that Ukraine will receive more than $42 billion in total from international partners in 2023. 

Ukraine received a $1.2 billion grant from the United States on Oct. 11 and is counting on an additional $3.3 billion in direct budget support from Washington by the end of 2023.