Skip to main content

Second Installment of IMF Loan Has Been Approved

03 November, 00:00

The IMF Board of Directors has disbursed the second tranche of the EFF loan to Ukraine. Although official Kyiv was counting on no less than $125 million, the amount of the infusion, $78 million, was estimated by the Fund experts as the price of meeting the memorandum conditions, including the Premier's submission to Parliament the government's action program and the 1999 draft budget. The government pretended to be pleased with amount the allocated.

One would think that some changes should now be expected in exchange rate policy. Presidential Adviser Valery Lytvytsky believes that since the Hr. 3.4-4.0/$1.0 rate is over-devalued, the hryvnia now has a chance to rise. At the same time, according to earlier speculations, the second tranche, just like the first one in the amount of $257 million, will be used to replenish the NBU reserve funds, which, according to Lytvytsky, have lately grown by $150 million.

PS. Next year, the Ukrainian government is planning to attract $2.5 billion in foreign and to pay off $1.25 billion of its foreign debt. According to Deputy Finance Minister Serhiy Makatsariya, as of mid-October, Ukraine's total foreign debt was $10.85 billion.
 
 

 

Delimiter 468x90 ad place

Subscribe to the latest news:

Газета "День"
read