IMF Approves New Bailout To Ukraine

The Executive Board of the International Monetary Fund (IMF) announced a new bailout program for Ukraine totaling 17,500 million and four years, in order to attend the “immediate stabilization” of the economy of Kiev.

“This new four-year program will support the immediate economic stabilization in Ukraine and all deep and broad reforms to restore strong growth in the medium term and improving the living conditions of Ukrainians” said Christine Lagarde, the managing director Fund in a statement, reports EFE.

The authorization of the Board of the IMF, which represents its 188 Member States, resulted in immediate delivery to Ukrainian state of a first tranche of 5,000 million dollars, said Agence France Press.

The other sections of the loan to Kiev will be delivered over the next four years on condition that the authorities put in place drastic reforms demanded by the Fund to consolidate public accounts of the country.

The Ukrainian government with serious financial difficulties, already showed willingness to IMF to announce that triple gas prices paid by households and 70% increase in rates of heating.

In recession for two years, Ukraine lost control of industrial lungs east, in the hands of pro-Russian separatists, and attended the collapse in the value of its currency (over 40% since the beginning of the year).