IMF Approves $2.2 Billion for Ukraine Amid War Challenges

The International Monetary Fund approved a $2.2 billion disbursement to Ukraine, following the completion of the fourth review of the country's four-year, $15.6 billion loan program. Despite the ongoing war with Russia, Ukraine has met quantitative targets and structural benchmarks, although its GDP growth forecast for 2024 has been revised downward.

The International Monetary Fund on Friday said its executive board approved a $2.2 billion disbursement to Ukraine for budget support after completing a fourth review of the war-torn country's four-year, $15.6 billion loan program.

The IMF said in a statement that Ukraine's performance under the extended fund facility program remains strong despite challenging conditions, with quantitative targets met and structural benchmarks implemented on time or with a short delay.

The Fund adjusted downward its 2024 GDP growth forecast for Ukraine to a range of 2.5-3.5%, compared to a prior forecast of 3.2% in the April World Economic Outlook. The fund cited deteriorating consumer and business sentiment due to the recent evolution of Russia's invasion, as well as stepped-up Russian attacks that have damaged Ukraine's power infrastructure.