IMF may approve new program for Ukraine in Feb contingent on Kiev's implementation of prior action - spokesperson

MOSCOW. Jan 16 (Interfax) - The Executive Board of the International Monetary Fund (IMF) may approve a new four-year arrangement under the Extended Fund Facility (EFF) for Ukraine in February, but it is contingent on the implementation by Kiev of agreed prior actions, Ukrainian media quoted Director of Communications at the IMF Julie Kozack as saying.

"We don't [yet] have a Board date [...] We are hopeful that we could potentially could have a Board meeting in February," media outlets quoted Kozack as saying at a press briefing.

The European Council's agreement to provide 90 billion euros in financial support to Ukraine over 2026 and 2027 is an important milestone toward closing Ukraine's financing gaps, estimated at $63 billion in 2026-2027 and at $136.5 billion for the duration of the program from 2026 to 2029, and toward restoring debt sustainability, she said.

"We are in the final stages of discussions with international donors, as they seek to secure all of the necessary financing assurances," Kozack said when commenting on the extent to which this precondition has been met to date.

When speaking about Ukraine's fulfilment of agreed prior actions, Kozack said that only one measure, adoption of the 2026 state budget, has been completed so far.

"The other one will be that the tax base will need to be broadened by enacting legislation to tax income earned through digital platforms, closing customs loopholes for consumer goods and resuming and removing exemptions for VAT. So, prompt action by the Ukrainian authorities to complete these and other prior actions will be critical to maintaining reform momentum, assisting Ukraine and unlocking financing for its large needs," she said.

When commenting on IMF Managing Director Kristalina Georgieva's visit to Kiev, Kozack said that it should "help coordinate and catalyze financial support for Ukraine from the international community."

Georgieva last visited Ukraine in February 2023, as discussions were ongoing at the time on the previous IMF support program, she said.