IMF explains why it has concerns about Ukraine pension reform

REUTERS

17:57, 30.11.2017

1 min. 380

The International Monetary Fund (IMF) is still analyzing the pension reform adopted by the Verkhovna Rada in early November to check whether it has incentives for later retirement and, correspondingly, yields more contributions to the Pension Fund, according to Goesta Ljungman, the IMF Resident Representative in Ukraine.

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Speaking at a conference in Kyiv, Ljungman said the IMF was still in the process of evaluating the reform.

Read alsoUkraine's 2018 draft budget meets IMF requirements – finance ministryAccording to the IMF's representative, to complete the fourth review of the cooperation program and receive the fifth disbursement, Ukraine needs to ensure that the pension reform is consistent with the objectives of cooperation, including the long-term financial sustainability of the Pension Fund, as well as pass a law on privatization, bring gas tariffs in line with import parity, create an anti-corruption court and adopt a budget for 2018 with a deficit of no more than 2.5% of GDP.

As UNIAN reported earlier, the IMF in March 2015 approved a four-year Extended Fund Facility (EFF) loan program for Ukraine under which $17.5 billion will be disbursed. Ukraine has already received four disbursements from the Fund to the tune of $8.7 billion.

IMF loan reform pension

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