Ukraine gets $4.5 billion grant from US to cover budget deficit
The World Bank (Photo:uk.wikipedia.org)
Minister of Finance Sergii Marchenko and World Bank Regional Country Director for Eastern Europe (Belarus, Moldova and Ukraine) Arup Banerji have signed an agreement on a $4.5 billion grant to Ukraine, Ukraine’s Ministry of Finance reported on Nov. 24.
The grant funds are to be provided by the United States and allocated to the Multi-Donor Trust Fund as the third additional financing under the project "Public Expenditures for Administrative Capacity Endurance in Ukraine”.
"We’re grateful to the government of the United States of America and the World Bank team for our long-term cooperation, financial support and solidarity with Ukraine,” Marchenko said during the signing of the agreement.
“These grant funds are a significant contribution to the financing of urgent needs for our country. This will allow us to continue to ensure the payment of wages, social and pension benefits and assistance for internally displaced persons in the conditions of the fight against the aggressor.”
The raised grant funds will be used to provide pension payments and certain programs of state social assistance, such as for payment of housing and utility bills, support for low-income families, disabled children and people disabled since childhood, IDPs, as well as to pay for medical services under the medical guarantee program, etc.
Ukraine’s Ministry of Finance added that today the country is implementing a joint project with the International Bank for Reconstruction and Development and the International Development Association "Public Expenditures for Administrative Capacity Endurance" worth a total amount of $6.3 billion and EUR 1.44 billion ($1.5 billion), including a grant of $5.8 billion.
These funds are aimed at reimbursing state budget expenditures made to ensure the payment of employees of state bodies and budgetary institutions in the educational sphere, as well as make pension payments and support certain state social assistance programs.
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