Left Menu
Development News Edition

Ukraine may get one IMF tranche in 2019 under "dream scenario" -Cen Bank Deputy Gov

Reuters | Updated: 10-06-2019 21:26 IST | Created: 10-06-2019 21:21 IST
Ukraine may get one IMF tranche in 2019 under "dream scenario" -Cen Bank Deputy Gov
Image Credit: IANS

Ukraine might be able to clinch one more tranche of aid from the International Monetary Fund this year, the deputy central bank governor said on Monday, although Kiev faces a tense period over the coming months due to high external debt repayments.

The $3.9 billion standby programme with the IMF, which runs until 2020, is on hold until a government is in place in Kiev following July's snap parliamentary election. President Volodymyr Zelenskiy dissolved parliament and called the poll after sweeping to victory in an election in April. "If the government is formed and ... picks up (the reins) again in September, then we have a chance of getting another tranche of some description by the end of the year -- that's what we consider the dream scenario," deputy governor Kateryna Rozhkova told Reuters. She said she expected any further disbursement to be of similar size to previous tranches, at around $1.3 billion.

Ukraine has received $1.4 billion from its latest IMF programme so far, and the country's central bank chief said in April he expected two tranches to be disbursed in 2019. The IMF has supported Ukraine's war-scarred economy with several aid-for-reforms programmes since Russia's annexation of Crimea in 2014 and the outbreak of a Kremlin-backed separatist conflict in eastern Ukraine.

While Ukraine's macroeconomic and financial space was "fairly stable", 2019 would present challenges, Rozhkova added in an interview ahead of an investment conference. "We do have some quite substantial debt repayments by the end of this year and next year as well, undoubtedly it will be a very tense period ... It is obvious that 2019 is a difficult year for us," she said, speaking through a translator. "The IMF is key for us -- and not just the one tranche."

While Ukraine's current foreign currency reserves were sufficient, projections would have to be adjusted to take into account the hiatus in IMF engagement and associated financing, Rozhkova said. "Our reserves are over $19 billion, and continued IMF cooperation would help us to get to over $21 billion," she said, giving no time frame but saying the central bank had added about $1.1 billion more through open market operations to enhance reserves.

Ukraine started investor meetings on Monday to sell a seven-year euro-denominated Eurobond.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

Download The Devdiscourse News App for Latest News.


TRENDING

OPINION / BLOG / INTERVIEW

Education post-coronavirus: Schools to rush for more digitalization

Digital education would undoubtedly boom in the post-coronavirus world, supported by educational institutions that have discovered its efficiency during the crisis, but it is still not expected to outshine traditional classroom learning....

Public health care post-COVID 19 to go for revamping, not rebooting

Until now, the economies used to classify healthcare sector under social expenditure. However, the devastation caused by COVID 19 pandemic has upgraded public healthcare on topmost priority and core economic activity for controlling future ...

Coronavirus lockdowns to speed up long-pending revamping of supply chains

With millions of production lines impacted, business disruptions to some extent are unavoidable and the lessons learned from this turbulence will leave an everlasting impact on both global and local levels of supply chains....

COVID 19 to catalyze the redefinition of urban planning and sustainability

Until now the urban planning was focused on mitigation to natural disastrous, climate change, pollution, chronic illness and lifestyle diseases. However, the global pandemic of novel coronavirus is going to change the whole narrative of urb...

Videos

Latest News

Nepal extends lockdown till April 7

The Nepal government on Sunday extended the nationwide lockdown by a week till April 7 to check the spread of coronavirus which has claimed over 31,000 lives across the world so far. In a meeting at the Prime Ministers official residence in...

Nigeria tightens offshore oil rules after vessel workers get coronavirus

Nigerias petroleum regulator has ordered oil and gas companies to reduce their offshore workforce and move to 28-day staff rotations as part of measures to curb the spread of the coronavirus, according to a circular seen by Reuters.The rest...

Iran will continue practicing social distancing, new lifestyle : Hassan Rouhani

Irans President Hassan Rouhani on Sunday said that country will continue practicing social distancing and new lifestyle that it adopted in the backdrop of coronavirus pandemic. The Islamic Republic has declared the death toll reaching 2,640...

Centre suspends 2 Delhi govt officers, showcauses 2 others over ‘lapses’ during lockdown

The Centre on Sunday suspended two senior Delhi government officers and served showcause notices on two others for serious lapses in duty during the ongoing lockdown. A Home Ministry spokesperson said the two officers who have been suspende...

Give Feedback