The primary topics will be the country's budget and tax plans for the remainder of the current year and the medium-term future.
Key Highlights
- IMF Team: Led by Gavin Gray, the IMF team will meet with Ukrainian authorities and other partners.
- Focus Areas: The discussions will center on the tax and budget strategies of the Ukrainian government.
Statements from IMF Vahram Stepanyan, the permanent representative of the IMF in Ukraine, stated, "A team of IMF specialists led by Gavin Gray is starting meetings in Kyiv today with representatives of the Ukrainian authorities and other partners. Discussions will focus on the tax and budget plans of the authorities for the second half of the current year and the medium-term perspective."
IMF Program with Ukraine
- EFF Program: Ukraine's agreement with the IMF on the Extended Fund Facility (EFF) program for $15.6 billion was approved in March 2023.
- Tranches Received:
- Ukraine has already received five tranches totaling approximately $7.6 billion.
- This includes $900 million in March and the last tranche of $2.2 billion in July.
- Future Tranches:
- In 2024, Ukraine is expected to receive two more tranches of $1.1 billion each, scheduled for October and December.
Political Commitments and Economic Scenarios
- Support Commitments: As part of the IMF program, Ukraine has received political commitments from partners to allocate $122 billion by 2027.
- Negative Scenario: The IMF has also developed a contingency plan for Ukraine's economy in the event of a prolonged conflict. Under this scenario, total financing for Ukraine could increase to $140.7 billion.
Conclusion The arrival of IMF representatives in Kyiv marks an important phase in Ukraine's ongoing economic planning and international financial support. The discussions on budget and tax plans are crucial for ensuring Ukraine's financial stability and addressing the economic challenges posed by the ongoing conflict.
