The relevant department believes that the new program with the IMF will help reduce the budget deficit and support the country’s macroeconomic and financial stability during the war.
Ukraine will need about $10 billion in additional external financing in 2023 to cover the state budget deficit. This was reported by the press service of the Ministry of Finance.
The Ministry noted that the Ukrainian minister met with the Managing Director of the International Monetary Fund (IMF) Kristina Georgieva on February 20, 2023, during which the results of the Fund’s mission to review the Monitoring Program for Ukraine were discussed. ,
Therefore, according to Finance Minister Sergei Marchenko, opening a full-fledged long-term program with the IMF will help reduce the budget deficit and maintain macroeconomic and financial stability.
“In this context, we expect the start of negotiations on a full-fledged program with the support of the IMF. This will help to prioritize humanitarian and social budget expenditures in 2023,” said Sergei Marchenko. said.
Recall that the mission of the International Monetary Fund has been working in Ukraine since February 13. The organization checked how Ukraine complies with the requirements of the monitoring program approved at the end of 2022.
As early as February 20, the director of the fund, Kristalina Georgieva, announced that Ukraine has met all the criteria for cooperation. She also noted that the country’s financing need is $40 billion per year.
“We have a country where institutions work, pensions are paid, social services work, and the government is very interested in continuing reforms even as the bombs fall.”
Previously Focus He said that Ukraine’s post-war future was discussed at the World Economic Forum held in Davos on 17-20 January. Larry Fink, CEO of BlackRock, the world’s largest wealth management company, talked about a multi-billion dollar plan to finance the country.
We also recall that the January UN report spoke of the devastating impact of the great war with the Russian Federation on the Ukrainian economy – it fell by more than 35% in 2022.
Source: Focus
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