IMF mission on future program with Ukraine to work in Warsaw March 8
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The mission of the International Monetary Fund on Ukraine will work in Warsaw from March 8 through March 15 to discuss the parameters of the potential future cooperation program.
That's according to Minister of Finance Serhii Marchenko, who spoke at the national telethon.
"Our nearest benchmark is the IMF mission, which will work in Warsaw in the near future, from March 8 to 15. That's where we will discuss the parameters of the potential future program. There we will agree on its terms and scope," Marchenko said.
He noted that it is still too early to talk about specific details because there are many issues subject to internal IMF discussions, so Ukraine will have to do a lot of work.
"I think we will find the necessary solutions so that, starting from April, we have a full-fledged program with the Fund" he added.
Ukraine is talking about a four-year program, the task of which is to carry out the necessary correction of policies in order for Ukraine to reach the level of "more or less" self-sufficiency after the war. Because today 50% of the budget is spent on military expenses, and the other 50% is financed with the help of partners.
"So far, the fund has not put forward impossible conditions that we cannot fulfill.
It is about software, and basic things:
- ensuring monetary and fiscal stability,
- reducing the level of the budget deficit,
- ensuring an acceptable level of burden on the budget,
- good governance and ensuring best corporate practices.
And we are talking about anti-corruption programs, which were traditionally part of IMF programs," the minister explained.
It is necessary to understand the economic prospects of Ukraine and how to overcome the existing economic phenomena. Therefore, certain measures can be quite harsh, but it is not about taxes. Marchenko clarified that the details will be discussed during the work of the mission.
"So far, there are no critical reservations that we could not remove or could not discuss. That is, we are moving in a tight schedule, but there is an understanding that the final goal must be achieved and we will have a program," he summarized.
IMF Managing Director Kristalina Georgieva recently paid a visit to Ukraine. She highly praised the efforts of the Ukrainian government and all institutions that continue to operate despite russia's full-scale war.
Prime Minister Denys Shmyhal held a meeting with Kristalina Georgieva and her IMF team, announcing that Ukraine expects to launch a new program of cooperation with the Fund worth more than $15 billion. It is planned that the program will consist of two parts: immediate financial support and support for structural reforms that will promote recovery.
