REUTERS
CEO of national oil and gas holding Naftogaz of Ukraine Andriy Kobolyev has announced his company plans to repay US$300 million to the European Bank for Reconstruction and Development (EBRD) in January 2018 for a previously extended gas purchase facility, according to an UNIAN correspondent.
"Some $300 million will be repaid to the EBRD this January. As far as we understand, there will be no automatic resumption of this credit line," he said.
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"Because of problems with the IMF, the World Bank is also planning not to extend a $500 million credit line... The current strain between the [Ukrainian] government and the IMF will cost Naftogaz $800 million in low-cost credit resources at 1% per annum," he added.
As UNIAN reported earlier, EBRD Managing Director for Eastern Europe and the Caucasus Francis Malige said at the beginning of October 2017 that the bank was ready to extend the gas purchase facility for Ukraine and even increase its volume, but only after the resumption of the work of the independent supervisory board at Naftogaz.
The board was formed by a Cabinet decision in December last year. Its first meeting took place on January 12, 2018.
In the middle of December of 2017, IMF representatives said that Ukraine still had to meet a number of conditions for obtaining a new disbursement. According to the Fund, the government, first of all, needs to adjust gas prices on the domestic market to import parity, which will promote the development of a free gas market and encourage consumers to save energy. In addition, the allocation of the next IMF tranche depends on the adoption of the country's legislation on privatization and the anti-corruption court.