The IMF released another billion euros for Ukraine as part of an international support package. This amount is part of the fifth review of the aid program that will begin in March 2023.
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The International Monetary Fund (IMF) released an additional $1.1 billion (one billion euros) for Ukraine this Friday, after approving the agreement on the fifth review of the current aid program.
The agreement was signed in mid-September and amounts to 8.7 billion dollars (80 million euros) funds already paid to Ukraine, of the 15.6 billion dollars (14.3 billion) provided for in the program.
This latest package is part of a large international aid plan worth a total of $122 billion (112 billion euros), approved in March 2023 by all countries that supported Ukraine from the beginning of the Russian invasion in February 2022.
“The performance of the Ukrainian government and the commitments made under the program remain strong. All performance criteria were met and those for September seem to be on the right track,” highlighted the general director of the IMF, Kristalina Georgieva, quoted in a statement.
However, due to the impact of the ongoing war following the Russian invasion in February 2022, “the economic recovery is expected to slow due to the impact of attacks on energy infrastructure and the risk to the outlook remains high,” he added.
Among the measures recently adopted, the Ukrainian Government announced, at the end of July, that it had reached a agreement to partially restructure its external debt valued at 20 billion dollars (18.4 billion euros).
At the time, the Ukrainian Ministry of Finance stated that the agreement would allow savings of 11.4 billion dollars (one billion euros) in the next three years and 22.75 billion dollars (21 billion euros ) until 2033.
The IMF described the agreement as “an important step in the authorities’ global strategy to restore debt sustainability”.
The multilateral financial organization said the Ukrainian authorities’ restructuring strategy and other measures “will be essential to reducing Ukraine’s debt burden to sustainable levels, thereby creating room for essential spending and supporting growth.”
Source: Observadora
