REUTERS
Smolii has stressed that in the face of increasing turbulence in world markets, it is critical to seal a cooperation program with the IMF.
In the context of the unfolding global economic crisis caused by the coronavirus pandemic, Ukraine cannot hesitate in the issue of its cooperation with the International Monetary Fund, National Bank Governor Yakiv Smolii said at today's meeting with G7 ambassadors.
"Our country cannot afford further delay in today's conditions of increasingly difficult access to international capital markets in the year of peak debt payments. I am glad that the new government has confirmed continued pursuit of ongoing reforms and cooperation with the IMF," the NBU press service quotes Smolii as saying.
The NBU chief stressed that in the face of increasing turbulence in world markets, the conclusion of a cooperation program with the IMF is critical.
Smolii also noted the limited effect and neutral influence of the coronavirus spread on the Ukrainian economy, but in the future the country's economy may feel a certain impact.
The spread of coronavirus may lead to a recession in the global economy and a slowdown in Ukraine. Consequently, the NBU's decision to lower the key rate from 11% to 10% is aimed at supporting the Ukrainian economy in such difficult times.
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"The National Bank constantly monitors the situation with the spread of coronavirus in the world and in Ukraine, and the state of the global financial and commodity markets, being ready to take prompt action if necessary," Smolii said.
As UNIAN reported earlier, on March 4, the Verkhovna Rada dismissed Prime Minister Oleksiy Honcharuk and his government, appointing Denys Shmyhal as new head of the Cabinet of Ministers. The new Minister of Finance is Ihor Umansky.
On March 12, the International Monetary Fund announced its readiness to support Ukraine's efforts to implementreforms aimed at economic growth and financial stability, in cooperation with the new government.
Ukraine and the IMF in December 2019 reached a staff-level agreement on the new extended fund facility for Ukraine worth $ 5.5 billion.
The decision on the new program is yet to be approved by the IMF Executive Board, while no date for consideration of the Ukraine issue has been scheduled so far as Ukraine has not fulfilled all conditions set for the program to be launched.
On March 11, Prime Minister Shmyhal announced that Ukraine would fulfill these conditions within two to three weeks.