Ukraine may get 3rd tranche from IMF in July – Finance Minister

Saturday, May 21, 2016 - 15:00 (EEST) Section: Latest news

Ukraine may receive the third tranche of the loan in the amount of $1.7 billion from the country`s key creditor, the International Monetary Fund, under the Extended Fund Facility, approved in March last year, immediately after the meeting of the Board of Directors of the Fund, that is in July, according to Ukraine`s Finance Minister Oleksandr Danylyuk.
”In July, the money may come. We have had very constructive talks; we held them very successfully. There is confidence in the government,” the minister said in an interview with Espresso TV channel
As UNIAN reported earlier, the four-year EFF program worth about $17.5 billion originally foresaw quarterly reviews of the program, the disbursement of four tranches to Kyiv in 2015, another four in 2016. However, at present, the country has received only the first tranche worth $5 billion on March 13, 2015, and the second one worth $1.7 billion arrived on August 4, 2015.
The second review is under way, as Ukraine and the IMF are in talks on a wide range of issues, which includes various aspects of monetary, banking and anti-corruption policies, the pension reform and the privatization process. Based on results of the review, a memorandum should be signed between the Ukrainian government and the IMF`s Executive Board.
Ukraine`s Finance Minister Oleksandr Danylyuk said the restoration of cooperation with the Fund was vital for Ukraine as it would help unlock further financial assistance from Ukraine`s international partners.
Mission chief Ron van Rooden said considerable progress had been made restoring stability, but said the government needed to boost efforts to improve transparency and the rule of law.
”Steadfast implementation of structural and institutional reforms is now critical,” he said in a statement.
”Unwavering determination in the fight against corruption (is) emerging as a litmus test for the government`s ability to retain broad domestic and international support for its policies,” he said.