REUTERS
Ukraine expects to receive the second tranche of the International Monetary Fund (IMF) worth $1.7 billion to be disbursed under a new four-year Extended Fund Facility (EFF) program in the coming days and will channel the funds to replenish the National Bank’s international reserves.
The EFF program is a critical component of the Ministry of Finance’s goal of stabilizing the Ukrainian economy and creating the conditions for a return to growth in 2016, as noted on the ministry’s website.
Furthermore, it is reported that combined with the deep and ambitious reforms being carried out by the Government of Ukraine, the new tranche will encourage growth in the economy and reassure financial markets both domestically and internationally.
The Finance Ministry said that the decision by the IMF’s Board was the result of the progress Ukraine had made in implementing its reform program, supported jointly by the Ukrainian Government and the IMF.
As UNIAN reported earlier, the IMF’s Board approved the disbursement of a second $1.7 billion tranche to Ukraine on Friday, July 31.
Ukraine has been implementing a reform program agreed with the IMF, which provides for allocation of $17.5 billion in Ukraine under the EFF during a four-year term. The first $5 billion tranche was received immediately after the approval of the program in March.
As expected, the second revision of the program with a view to possible granting of the third tranche will be carried out this fall in Kyiv, following an assessment mission. The mission's visit is scheduled for September, 2015. The total amount that Ukraine may receive from the IMF in 2015 is $10 billion.