At the International Monetary Fund's Board of Directors meeting, Ukraine will be assessed to what extent Ukraine has fulfilled the conditions for the extended financing program. The terms include financial inclusion, which is one condition for approval of the next tranche of $2.2 billion.
Points of attention
- Ukraine can receive a $2.2 billion tranche from the IMF after successfully fulfilling the conditions of the extended financing program, including financial inclusion.
- NBU, together with IMF and World Bank experts, is developing political measures to increase Ukraine's financial inclusion.
- Ukraine continues to attract financial assistance from international partners, including receiving a loan from the Republic of Korea and support for Ukrainian farmers from the International Bank for Reconstruction and Development.
- Before approving the loan from the Development Bank of the Council of Europe to implement the "NOME. Compensation for destroyed property" project, Ukraine decided to attract financial support of 100 million euros.
When Ukraine can receive a tranche of 2.2 billion dollars
The head of the National Bank of Ukraine, Andriy Pyshnyy, said Ukraine had successfully met all the requirements for the fourth program revision. In particular, structural beacons and quantitative performance criteria.
According to him, the incoming funds will finance budgetary needs, the National Bank will be able to replenish its gold and foreign exchange reserves, and the budget will receive the necessary resources to cover the budget deficit.
Fulfilling the requirement for financial inclusion, which should ensure access to financial services for all Ukrainians regardless of their place of residence, is important for receiving the next tranche from the IMF.
This covers aspects such as the reintegration of territories and veterans and adaptation to new realities caused by migration processes. NBU plans to develop appropriate policy measures with IMF and World Bank experts to increase financial inclusion.
Other help from partners
Prime Minister of Ukraine Denys Shmyhal said that Ukraine continues to attract financial assistance from international partners.
Among the recent decisions that were made:
The draft law on the ratification of the intergovernmental agreement between Ukraine and the Republic of Korea was approved. This agreement allows Ukraine to obtain a loan of up to 2.1 billion dollars from the Korea Economic Development and Cooperation Fund.
The International Bank for Reconstruction and Development has distributed funds amounting to 2.4 billion hryvnias within the framework of the ARISE project to support Ukrainian farmers. This includes credit guarantees to encourage lending to small and medium-sized agricultural producers and grants for small farms.
A decision was made to attract a 100 million euro loan from the Development Bank of the Council of Europe to implement the "NOME. Compensation for destroyed property" project.
