IMF Approved Fourth $1 Billion Loan Installment for Ukraine
April 10, 2017
The International Monetary Fund, Ukraine’s key loan supplier, completed its third revision of the program of cooperation with Ukraine under the Extended Fund Facility (EFF) Program and approved another USD 1 billion installment, which is to be transferred to the international reserves of the National Bank for Ukraine.
Receiving the fourth disbursement from the IMF is an unprecedented occasion for Ukraine as it has a history of ceasing to implement the Program, while IMF suspended funding in return. This happened after the first and the second tranche and once even after the third tranche.
“Ukrainian economy demonstrates positive signs of recovery. Growth is returning, inflation has been brought down, and international reserves have doubled. This progress owes much to the authorities’ decisive policy actions, including sound macroeconomic policies. The recent stabilization provides a promising basis for further growth”, notes Mr. David Lipton, First Deputy Managing Director of the IMF.
Ukraine resumed cooperation with the IMF under USD 17.5 billion Extended Fund Facility Program in September 2016 after a year-long pause. Under the Program our country received three loan installments totaling USD 7.62 billion and was expecting to obtain another installment of USD 1 billion by the end of 2016, but sessions of the Executive Board have been repeatedly postponed.