The national Bank allowed the termination of the IMF program

В Нацбанке допустили прекращение программы МВФ

The building of the NBU

The lack of IMF tranche before the end of the second quarter of 2018 will attest to the fact that the current program of lending can resume.

Deputy head of the National Bank of Ukraine Dmytro Sologub announced in his interview to Ukrainian news on 19 January that if Kiev does not receive the next tranche from the International monetary Fund until July 2018, the program of assistance to Ukraine likely to be interrupted.

Recall, the NBU predicted to receive two tranches from IMF in the first and third quarter of 2018 for a total amount of $ 3.5 billion.

It is noted that due to the slowdown in reform tranche will likely be postponed to the second quarter.

According to Sologub, no decision on the IMF tranche before the end of the second quarter of 2018 will attest to the fact that the current lending program with a high probability will not be.

“If theoretically the Ukrainian government two months before the election, will want to take a bunch of unpopular reforms, it will get money. But the question is, what is the probability of this is low,” − said the Deputy head of the NBU.

Note, we are talking about lending program with the use of the extended financing facility EFF with total capacity of approximately 16,75 billion dollars. Of this amount Kiev has received only us $ 8.7 billion in four tranches, the last of which was sent in April 2017.

To continue the IMF program insists on creating anti-corruption court, the finalization of the adopted pension reform, land reform and raising gas prices.

At the same time, according to Sologub, the IMF can continue to help Ukraine through a new programme that will not be a crisis, and not be so tied to the reforms.

Earlier, the NBU said that the termination of the program of the International monetary Fund is a key macroeconomic risks for Ukraine.

Source