IMF to Begin Three Year Program for Ukraine
Details on the Extended Financing Program have not yet been finalized
Photo from Ukrinform – UATV
IMF’s Extended Financing Program (EFF) program with Ukraine is scheduled for three years and will focus on maintaining macroeconomic stability and introducing deep structural reforms.
“As I said earlier, Ukraine has reached a significant level of macroeconomic stability. I think it is important to keep it,” Director of the IMF’s European Department Poul Thomsen said, answering questions from a Ukrinform correspondent in Washington.
He stressed that one of the key measures was the modernization of the central bank which also provided for the strengthening of its independence.
“And we consider it absolutely important to preserve this,” Thomsen said.
He also drew attention to the aspects of monetary policy in Ukraine, as well as oversight of the financial sector. He mentioned the case of PrivatBank, which is now being tried in court. The state should continue to try to limit the losses to taxpayers, he stressed.
As for structural reforms in Ukraine, which the IMF considers before entering into agreements on a new program, Thomsen mentioned, in particular, land reform, combating corruption, as well as efforts aimed at greater openness of the market in Ukraine.
At the same time, Thomsen did not specify the size of a new program with Ukraine.
“We have not yet discussed the sum, so I cannot say anything about it.” Thomsen stressed that the dialogue with the Ukrainian government was ongoing in a positive way. He also noted that the IMF could send a mission to Ukraine in the next few weeks to work out the details of the reforms.
The International Monetary Fund mission, led by Ron van Rooden, recently visited Kyiv from September 12th to the 26th and began discussions on a new three-year Extended Financing Program with Ukraine. It was stated that the mission’s experts had fruitful discussions on fiscal and monetary policy and key reform measures during their visit.