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IMF to expedite $5 billion loan to Ukraine

Samizdat | April 20, 2022

Ukraine likely needs $5 billion a month in financial assistance to keep its economy operating and the immediate priority was finding ways to fill that gap in the next three months, according to International Monetary Fund (IMF) Managing Director Kristalina Georgieva.

The Washington-based financial institution will start work on a future loan program, but it was “unfair” to expect Ukraine to implement a far-reaching package of reforms at the moment, Georgieva told a news conference on Wednesday.

On Sunday, Kiev requested $50 billion in financial support from the Group of Seven (G7) nations and the International Monetary Fund (IMF) to cover a budget deficit largely created by the military conflict with Russia.

Ukraine is also considering issuing 0% coupon bonds to bridge the fiscal gap, as the country is currently facing an estimated $7 billion deficit a month, according to Oleg Ustenko, the top economic adviser to Ukrainian President Volodymyr Zelensky.

The IMF and World Bank have approved more than $2 billion in loans to Ukraine since the beginning of Russia’s military operation in the country. Meanwhile, the World Bank said it was preparing nearly $1.5 billion in extra funds to allow essential Ukrainian government services to continue.

Over the weekend, Georgieva said “more [funds] would be necessary … to keep the economy functioning and prevent inflation shooting up.”

April 20, 2022 - Posted by | Corruption, Economics | ,

3 Comments »

  1. …proving it is the kosher central bankster behind this Ukraine thing.

    Liked by 1 person

    Comment by Bob | April 21, 2022 | Reply

  2. If there is a Ukraine in the end they will have little means to pay this back. They will be a rump land-locked country with no industrial base. Effectively a peasant wheat producer unless the EU spends billions to bring it into the 21st century.

    Liked by 1 person

    Comment by Bob Dobbs | April 21, 2022 | Reply

  3. People of Ukraine,
    Please read “Confessions of an economic hit man” By John Perkins before accepting any “help” from the IMF

    Like

    Comment by Sink | April 22, 2022 | Reply


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