Ukraine and the International Monetary Fund have agreed

Solution

Ukraine and the International Monetary Fund have agreed on a USD 15.6 billion loan package aimed at shoring up government finances severely strained by Russia’s invasion and at leveraging even more support by reassuring allies that Ukraine is pursuing strong economic policies. The programme will “help to mobilise financing from Ukraine’s international partners, as well as to maintain macrofinancial stability and ensure the path to post-war reconstruction after Ukrainian victory in the war against the aggressor.” The loan programme will run for four years, with the first 12 to 18 months focusing on helping Ukraine close its massive budget deficit and alleviating pressure to finance spending through printing money at the central bank. About IMF Formation: 27 December 1945                                              Headquarters: Washington, D.C., U.S. Managing Director: Kristalina Georgieva