Ukraine will receive an IMF tranche for $890 million

Ukraine will receive approximately $890 million from the IMF under the Extended Financing Facility (EFF), which will be used for budget support. This is stated in the IMF statement.

“The IMF Board has completed the first revision of the expanded agreement under the Expanded Financing Facility (EFF) for Ukraine, which allows the authorities to receive the equivalent of approximately $890 million, which will be used to support the budget,” said the message.

The Extended Financing Facility was approved by the IMF Board of Directors in March 2023 and is part of a total $115 billion support package for Ukraine.

The fund noted that, despite the war, the Ukrainian economy, after a sharp decline in 2022, shows more stability than expected, and the forecast for GDP growth in 2023 increased to 1-3 %.

“The authorities have made significant progress in fulfilling their obligations under the EFF under difficult conditions, having met all performance criteria at the end of April and structural beacons at the end of June, and remains committed to this program,” the statement said.

Continued strong ownership and reform momentum are necessary to maintain macroeconomic stability, strengthen institutional reforms and support recovery efforts, and help Ukraine move towards EU accession, added funds.

It will be recalled that in March the IMF executive board approved a $15.6 billion four-year financing package for Ukraine to help the country meet its urgent financial needs amid the war. In general, this year Ukraine has the opportunity to receive three tranches from the IMF for a total of $4.5 billion.