IMF’s board approves $8.1 bln loan package for Ukraine

WASHINGTON

The IMF's executive board has approved an $8.1 billion lending agreement for Ukraine, unlocking immediate access to around $1.5 billion, the fund said on Feb. 26, days after the country marked four years since Russia's invasion.

The 48-month arrangement replaces an earlier facility, and is expected to support Kiev as authorities push to maintain economic stability as the war with Russia enters a fifth year.

IMF staff and Ukrainian authorities had reached a staff-level deal on this funding in November.

But the program was contingent upon securing financing assurances and enacting a budget, among other elements.

"The overarching goals of the authorities' new program are to continue anchoring economic and financial stability, restore debt sustainability" and advance reforms that will help with post-war recovery and support Ukraine's aim for accession to the European Union, said the IMF.

"Ukraine and its people have weathered a long and devastating war for over four years with remarkable resilience," added IMF Managing Director Kristalina Georgieva in a statement.

The new arrangement "aims to preserve the hard-won macroeconomic and financial stability as well as to extend and deepen structural reforms as the war continues," she added.

IMF spokeswoman Julie Kozack said earlier this month that Ukraine had met all conditions required for board approval for the deal.

The IMF has made more than $10 billion — not including new $8.1 billion program — available to Ukraine since the start of the war.