On March 21, 2024, the Board of Directors of the International Monetary Fund (IMF) approved the third revision of the Extended Fund Facility (EFF) program.
This follows from a statement by the National Bank of Ukraine (NBU), the Ukrainian News agency reports.
The successful completion of the third revision of the program provides for the immediate allocation of a tranche by the IMF to Ukraine in the amount of about USD 880 million (663.9 million in Special Drawing Rights, SDR), which will be directed to finance state budget expenditures.
These funds will also support Ukraine's international reserves, which will strengthen the NBU's ability to ensure exchange rate stability and maintain macro-financial stability.
It is noted that another successful review of the program is an important condition for Ukraine's access to the package of general financial support from international partners for the four-year period of the program in the amount of USD 122 billion.
Ukraine has met all structural beacons and indicative targets, as well as all but one of the quantitative performance criteria (this is a slight non-compliance with the lower limit of tax revenues, which is related to the blocking of borders).
Separately, the IMF emphasized that, despite the devastating impact of the war, the Ukrainian economy demonstrated extraordinary resilience in 2023.
As the Ukrainian News agency earlier reported, the decision of the IMF Board of Directors regarding the third review of the program was preceded by a Staff-Level Agreement reached on February 23, 2024.
On March 31, 2023, the IMF Board of Executive Directors approved the four-year program EFF for Ukraine.
The program envisages measures to support fiscal, external, price, and financial stability and economic recovery in a period of high uncertainty, as well as to improve corporate governance and strengthen state institutions with the aim of post-war reconstruction and Ukraine's acquisition of EU membership.
The EFF program is implemented in two stages (war and post-war). It provides access to credit funds from the IMF in the amount of SDR 11.6 billion (equivalent to USD 15.6 billion).
In 2023, Ukraine received three tranches from the IMF for a total amount of SDR 3.3 billion (USD 4.5 billion).
This year, Ukraine is able to receive four tranches from the IMF with a total volume of SDR 4 billion (USD 5.4 billion in equivalent), including financing that should arrive in the near future.
Who we are: About us, Contacts. How we write news and our principles: Editorial code. We did our best. If you found this valuable – please support us.
To request a correction, please send an email.