The state budget of Ukraine received a tranche of $1 billion under the World Bank program to support the "Growth Platform" (DPL) development policy.
Points of attention
- The funds received from Japan and Britain will be used to develop the economic potential and finance the social and humanitarian needs of Ukraine.
- The DPL program concluded with the World Bank is aimed at supporting reforms in Ukraine in areas such as customs and tax policy, the fight against corruption, private sector development, and infrastructure.
- These funds will help Ukraine support critical budgetary needs and implement plans for the country's post-war recovery and European integration.
- Ukraine has received a tranche from the IMF worth $1.1 billion, which will allow the country to finance critical needs and support reforms.
- The expanded IMF financing program is helping Ukraine not only support its economy but also mobilize critical resources for a successful war and post-war reconstruction.
Where will the funds received from Japan and Britain be directed?
As reported by the Prime Minister of Ukraine Denys Shmyhal, the tranche consists of:
567 million US dollars under guarantees from the Government of Japan within the framework of the ADVANCE Ukraine Trust Fund,
483 million US dollars under the guarantee of the UK government.
Minister of Finance Serhiy Marchenko noted that these funds will be directed to developing Ukraine's economic potential and financing priority social and humanitarian needs of the state budget.
The DPL program is aimed at supporting the implementation of reforms in Ukraine. The tranche was made possible by achieving key indicators in the following areas:
customs and tax policy,
fight against corruption,
support for state-owned enterprises,
private sector development,
logistics infrastructure.
Ukraine remains committed to the reform process even under martial law. This not only helps attract critical resources, but also contributes to the country's economic growth, recovery, and European integration, — emphasized Deputy Minister of Finance Olga Zykova.
Ukraine received a new tranche from the IMF for $1.1 billion. Where will the funds be directed?
As reported by Prime Minister of Ukraine Denys Shmyhal, these funds have already been credited to Ukraine's accounts and will be used to finance critical budget needs.
In total, Ukraine received $9.8 billion from the IMF under this program.
Recall, on March 31, the IMF Executive Board approved a four-year extended financing program under the Extended Fund Facility (EFF).
The Fund emphasizes that this is a loan of $15.6 billion for Ukraine.
As mentioned earlier, the program consists of two parts: urgent funding until the war is won; and post-war reconstruction.
This loan is the first large package approved by the IMF for a country at war. Over the past year, 2023, Ukraine has already attracted about $4.5 billion of this $15.6 billion. In May 2024, Ukraine and the IMF began negotiations on the fourth review of the Extended Fund Facility.
We remind you that in June 2024, a new tranche of $2.2 billion was allocated to Ukraine.
