A new mission of the International Monetary Fund (IMF), Ukraine`s key lender, began its work in Kyiv on Thursday, November 3, according to the National Bank of Ukraine.
”The IMF mission led by Ron van Rooden has started work in Ukraine today,” the NBU said on Facebook.
Upon arrival, the mission held a scheduled meeting with NBU Governor Valeria Gontareva and her deputies Roman Borysenko, Kateryna Rozhkova, and Oleh Churiy.
IMF experts were originally expected in Kyiv on October 26, but they rescheduled their visit, citing internal causes.
Ukraine expects to obtain a new loan tranche worth about $1.3 billion by the end of the year after this mission`s work.
As UNIAN reported earlier, the IMF on September 14 announced the completion of the second review of the four-year Extended Fund Facility program of cooperation with Ukraine, adopted in March 2015, and decided to allocate the third loan tranche worth $1 billion.
The total amount of the funds already disbursed by the IMF is $7.62 billion of the total lending target set at $17.5 billion. The decision on the disbursement was made after more than a year break in relations between Ukraine and the IMF.
However, to secure more aid, Ukraine has to present a model of its pension system reform to kick off in 2017, the launch of the land market model, the model of tax legislation changes, including the abolition of the special VAT regime for agribusinesses and the simplified taxation system for legal entities. The IMF will also assess the transparency of the budget process in Ukraine.
The IMF has recently announced it kept its forecast of economic growth in Ukraine for 2017 at 2.5% amid 8.5% inflation year-on-year. The IMF also maintained its forecast of Ukraine`s GDP growth for 2016 at 1.5% with 13.5% inflation. The level of external debt in the current year is projected at 141.3% of GDP.