IMF mission starts work in Ukraine: Details

According to the MP, as of now, Ukraine is doing well, and much has been done in advance.

“But I wonder how our government will explain that the tax law has not been signed for 28 days... which they promised to our partners back in September,” Zhelezniak adds.

In 2024, the IMF may allocate another tranche of $1.1 billion to Ukraine based on the results of the sixth revision of the $15.6 billion program for 2023-2027.

Last week, the National Bank of Ukraine head Andrii Pyshnyi said, “The intensity of interaction with the IMF is now like a sprint on a marathon course - the next mission will start soon.” The NBU is fully prepared for the sixth review of the program, he said.

In October, the IMF updated its baseline and negative scenarios for Ukraine's economy depending on the duration and intensity of the war. According to the baseline scenario, the war will end at the end of 2025. Previously, the IMF expected it to end in late 2024.

The negative scenario assumes more intense fighting and the end of the war in mid-2026, leading to a drop in the economy in 2025 and stagnation in the following years.

The updated cumulative financing gap in the downward scenario is estimated at $187.1 billion, which is $35.7 billion higher than the baseline forecast for 2023-2027 ($151.4 billion), requiring additional steps to ensure debt sustainability.

In October, Ukraine received a $1.1 billion tranche from the IMF. This is the third IMF tranche since the beginning of the year. In March, Ukraine received $900 million in March and $2.2 billion in July. The total amount since the beginning of the year has reached $4.2 billion.

On October 10, the Verkhovna Rada approved a law on tax increases in Ukraine. However, the law has not yet been signed by the President.