Ukraine receives nearly $37 billion in IMF financial assistance over 30 years
Approximately $37 billion in financial support under 13 cooperation programs and the implementation of numerous structural reforms in the areas of monetary and fiscal policy, banking, judicial and fiscal policy, customs, public administration, anti-corruption, land market and medicine – these are the results of Ukraine’s long-term coordinated cooperation with the Fund.
This is according to Ukraine Ministry of Financereports Ukrinform.
“During the first 20 years of the partnership, Ukraine received approximately $18.26 billion in financial assistance to reduce the balance of payments deficit, support the national currency exchange rate and replenish the reserves of changes,” the report said.
When the global financial crisis shook the world in 2008, the Fund granted a then-record loan to Ukraine of $10.6 billion (SDR 7 billion), the ministry noted.
After the occupation of Crimea and the start of the war in the east of the country, Ukraine received two tranches for a total amount of 4.6 billion dollars (2.97 billion SDR). Subsequently, they approved the Expanded Financing Facility, under which $8.7 billion (SDR 6.15 billion) was received. Under this program, Ukraine received the maximum number of tranches – four, and the first tranche was the largest ever, amounting to about $5 billion (SDR 3.55 billion) .
In March, the Fund’s Executive Directors voted to endow our country with funds under the $1.4 billion Rapid Financing Instrument. Financial aid was an important contribution to mitigating the economic consequences of the invasion.
“Cooperation with the IMF is not just about supporting the financial system and reforms. It is also a matter of trust in the state. The most influential domestic and international investors focus on the expert opinion of the IMF and their assessment of the state of the economy. The Fund’s financial assistance in March 2022 had a significant impact on leveraging funds from other partners,” reads the report.
As previously reported, over 30 years of cooperation, the World Bank has approved 70 loans for Ukraine worth more than $14.4 billion and €2.1 billion, including $11.8 billion and €1.2 billion have been received to date.