IMF Program for Ukraine: Svyrydenko Announces New Agreement
17 April 12:53
Ukraine has reached an agreement with the International Monetary Fund on flexibility in meeting the structural benchmarks of the cooperation program amid a full-scale war. This was announced by Ukrainian Prime Minister Yulia Svyrydenko during a meeting with IMF Managing Director Kristalina Georgieva in Washington on the sidelines of the IMF and World Bank Spring Meetings, reports "Komersant Ukrainian"
According to the head of government, Ukraine is interested in continuing its successful cooperation with the Fund, as macroeconomic stability remains the foundation of the country’s financial resilience, support for the Armed Forces, and the funding of critical social expenditures.
Ukraine and the IMF agreed on flexibility in implementing the program
During the meeting in Washington, Yulia Svyrydenko emphasized that, in the context of a full-scale invasion, it is extremely important for Ukraine to maintain a flexible approach to fulfilling its obligations under the IMF program.
“We agreed that, in the context of a full-scale invasion, it is important for Ukraine to maintain flexibility in implementing structural benchmarks,” the Prime Minister emphasized.
According to the head of government, this agreement is crucial for Ukraine’s continued stable cooperation with international financial partners.
Svyrydenko thanked the IMF for its support of Ukraine
Yulia Svyrydenko separately thanked the International Monetary Fund for its consistent support of Ukraine.
“In a world where other wars and conflicts are raging, it is critically important for us to remain in the international spotlight. The IMF’s role in this is very important—all partners and donors look to the Fund,” she noted.
The Prime Minister emphasized that it is precisely cooperation with the IMF that helps Ukraine maintain the trust of international partners and donors even amid global instability.
Why the IMF program is important for Ukraine
According to Yulia Svyrydenko, the IMF program is one of the Ukrainian government’s top priorities.
She emphasized that the program’s key benchmarks not only help maintain macrofinancial stability but also bring Ukraine closer to the European Union.
“The key benchmarks of this program bring us closer to the EU, creating conditions for building a modern, competitive, and transparent economy based on European standards,” the head of government emphasized.
Macroeconomic stability as the foundation of resilience
The Prime Minister specifically noted that Russian attacks on Ukrainian cities and energy infrastructure only underscore the importance of cooperation with the IMF.
“Macroeconomic stability is the foundation of our resilience and support for the Armed Forces. Most of the budget revenue goes toward defense, while the international aid that the IMF helps us secure covers critical social expenditures and the functioning of the state,” stated Yulia Svyrydenko.
Thus, cooperation with the Fund remains for Ukraine not only a financial instrument but also an element of the state’s resilience during the war.
Ukraine has already received the first tranche under the new IMF program
Yulia Svyrydenko noted that Ukraine has already received the first tranche under the IMF’s new four-year Extended Fund Facility program.
This amounts to $1.5 billion, which was received in March. According to the Prime Minister, the government is committed to ensuring that the new program is just as successful as the previous one, despite the ongoing war.
She also called the previous cooperation program with the IMF a historic success, noting that no other country has undergone eight program reviews amid a full-scale war.
What steps has Ukraine already taken for the first review of the program
During a meeting with Kristalina Georgieva, Yulia Svyrydenko outlined the steps Ukraine has already implemented in collaboration with members of parliament to complete the first review of the program.
These include:
- the Verkhovna Rada’s adoption of legislation on the military levy;
- the adoption of decisions regarding the taxation of e-commerce platforms;
- completion of the competition for the head of the State Customs Service.
According to the government, these decisions demonstrate Ukraine’s readiness to fulfill its commitments and continue reforms.
What’s Next for Ukraine’s Cooperation with the IMF
The Prime Minister emphasized that the government is ready to continue working on the de-shadowing of the business sector, the implementation of reforms, and the enhancement of Ukraine’s investment attractiveness.
“We are ready to continue working on further de-shadowing the economy, implementing reforms, and enhancing Ukraine’s investment attractiveness. We look forward to the IMF mission’s visit to Kyiv in May,” Yulia Svyrydenko concluded.
Thus, the next important step in this cooperation will be the IMF mission’s visit to the Ukrainian capital.
