IMF Initiates Mission in Ukraine, Second Review of Extended Fund Facility Underway

The International Monetary Fund (IMF) has initiated its mission in Ukraine today, as confirmed by the National Bank of Ukraine (NBU). This mission involves essential consultations under Article IV of the IMF Agreements and a thorough second review of Ukraine’s adherence to its obligations within the expanded financing program.

Heading the IMF mission is Gavin Gray, who is overseeing the second review of the Extended Fund Facility (EFF) program in partnership with Ukrainian authorities. This review follows initial technical discussions that took place in Warsaw and is crucial for the upcoming 2023 Article IV Consultation. It could result in Ukraine receiving an aid tranche of nearly US$900 million.

The first review of the EFF program occurred in June and provided Ukraine with budget support of approximately US$890 million amid its ongoing conflict. Earlier in 2021, the IMF granted Ukraine a significant four-year financing package valued at US$15.6 billion, allowing it to access three tranches totaling US$4.5 billion.

The NBU highlights the importance of this process for maintaining financial stability and ensuring that Ukraine meets its financial commitments. The bank stresses the necessity of adhering to international financial agreements.