Ukraine could get first EUR 600 mln of macro-financial aid in June

Ukraine expects to receive the first tranche of macro-financial assistance worth EUR 600 million in the second half of June this year following the ratification of contractual documents by the Verkhovna Rada and approval by the Board of Directors of the International Monetary Fund of results of the first program review, according to a statement published on the Web site of the National Bank of Ukraine (NBU).

The NBU noted that the package of macro-financial assistance totaling EUR 1.8 billion will be received in three tranches of EUR 600 million each - two tranches in 2015 and one in 2016, as stipulated by the memorandum.

One of the conditions for the second tranche is the adoption by the NBU of criteria for identifying transactions with related parties, while the regulator reported that on May 12 it adopted a resolution No. 315 "On Approval of the resolution for definition of the term Related Parties", which, inter alia, outlines the procedure for disclosure of information on related parties to the regulator, as well as indicators for classifying individuals and entities as related parties by the regulator.

The provision of the third tranche requires the creation of a central credit register to improve credit risk assessment by the banks and reduction, in the medium term, of the share of problem loans. The NBU reported that work in this area is being performed.

It also reported that the interval between tranches allocation will be no less than three months provided there is a positive opinion of the European Commission regarding the implementation of structural reforms in Ukraine, as stipulated by the memorandum with the EC and the fulfillment of the IMF program.

As UNIAN reported earlier, during the fourth summit of Eastern Partnership a Memorandum of Understanding regarding the allocation of next macro-financial assistance package worth EUR 1.8 billion to Kyiv was signed.