IMF outlines conditions for launching new program for Ukraine
Photo: Julie Kozack, IMF spokesperson (flickr by International Monetary Fund)
Ukraine must fulfill several conditions for the International Monetary Fund to approve a new lending program worth over $8 billion, stated IMF spokesperson Julie Kozack, Reuters reports.
She said that before the IMF Executive Board reviews the staff-level agreement on the new four-year $8.2 billion lending program for Ukraine, Kyiv will need to meet several requirements, including:
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Implementing measures to broaden the tax base and close customs loopholes;
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Securing financing guarantees from creditors.
New IMF program
On November 26, the IMF and Ukraine reached a staff-level agreement on a new four-year $8.2 billion lending program.
The program aims to support macroeconomic stability, restore debt sustainability, strengthen anti-corruption efforts, and improve governance in the public sector. Final approval of the program depends on Ukraine's fulfillment of prior conditions and the availability of financing guarantees from donors.
Ukrainian authorities are expected to accelerate reforms in taxation and customs, including broadening the tax base, removing VAT exemptions, introducing taxation of digital platform income, closing customs loopholes, and approving the 2026 budget in line with the IMF program framework.
Ukrainian Prime Minister Yulia Svyrydenko stated that the new program will allow financing of critical expenditures, maintain macro-financial stability, and attract additional external support.
