Ukraine and IMF reach preliminary $15.6 billion funding agreement

22 March, 01:34 AM
Ukraine and the IMF agree on a new program (Photo:REUTERS/Yuri Gripas)

Ukraine and the IMF agree on a new program (Photo:REUTERS/Yuri Gripas)

Ukrainian and IMF officials have agreed on a draft for a $15.6 billion financial support program designed to last four years, the IMF said in a press release on March 21.

The money will be spent on supporting Ukraine’s fiscal, external borrowing, price, and financial stability, and support its ongoing gradual economic recovery, while promoting long-term growth in the context of post-war reconstruction and Kyiv’s path to EU membership.

“I am pleased to announce that the IMF team has reached staff-level agreement with the Ukrainian authorities on a 4-year IMF-supported program, with access requested of SDR 11.6 billion (about US$15.6 billion), or 577 percent of Ukraine’s quota,” said IMF’s envoy to Ukraine, Gavin Gray.

Video of day

“This agreement is subject to approval by the IMF Executive Board, with Board consideration expected in the coming weeks.

The governor of the National Bank of Ukraine (NBU), Andriy Pyshny, also confirmed the draft has been agreed upon.

“We reached an agreement at the staff level on a new expanded funding program,” Pyshny said.

“In the coming weeks, we expect the final approval on the deal by the IMF Board of Directors.”

On Feb 21, 2022, IMF Executive Director Kristalina Georgieva said the fund was ready to provide substantial economic support to Ukraine under a new full-fledged loan program.

Ukraine’s PM Denys Shmyhal said that Ukraine expects to receive more than $15 billion from IMF.

On Jan 26, Bloomberg reported that the IMF was considering providing assistance to Ukraine in the amount of up to $16 billion, spread out over several years.

We’re bringing the voice of Ukraine to the world. Support us with a one-time donation, or become a Patron!

Follow us on Twitter, Facebook and Google News

Ukraine Today
Fresh daily newsletter covering the top headlines and developments in Ukraine
Daily at 9am EST
Show more news