Fresh IMF loan funds will help stabilize the hryvnia exchange rate at UAH 20-22 to the dollar, NBU Governor Valeria Gontareva said in an interview with Ukrainian news broadcaster TSN on Sunday.
According to Gontareva, the current exchange rate of UAH 25-34 to the dollar is the result of panic and has no economic justification.
At the same time, she said that a rate of UAH 20-22 to the dollar was in line with the country’s macroeconomic indicators.
As reported earlier, on February 12, the Ukrainian government approved a memorandum of cooperation with the International Monetary Fund on a medium-term program of financial assistance for Ukraine, designed for four years, under the Enhanced Extended Fund Facility (EFF) and worth a total of $17.5 billion.
The new program will replace the current two-year Stand-by program. Together with funds from other international lenders, Ukraine could receive up to $40 billion over the next four years, according to IMF sources.
However, a final decision on the new program will only be taken by the IMF Board of Directors on March 11.