12 Aug 2022 17:07

NBU discussing prospects of new IMF program with U.S. ambassador

MOSCOW. Aug 12 (Interfax) - National Bank of Ukraine (NBU) Governor Kyrylo Shevchenko and his deputies Serhiy Nikolaichuk and Yury Heletiy have met with United States Ambassador to Ukraine Bridget Brink to discuss Ukraine's cooperation with the International Monetary Fund (IMF) and prospects for implementing its new program.

"The National Bank is working actively to draw financing from international partners. We are currently in touch with the IMF on a new program for Ukraine and are looking forward to its endorsement," Ukrainian media have quoted Shevchenko as saying on social media.

The parties also discussed the current economic situation in Ukraine and the NBU's latest decisions on the monetary policy and currency regulation, he said.

The NBU is taking measures to maintain financial stability in Ukraine, responding to changes in the economy and the financial sector, Shevchenko said. In particular, the setting of the official exchange rate at a new level on July 21 helps control price trends and lessen the pressure on the country's international reserves, he said.

As reported earlier, Ukrainian Prime Minister Denys Shmyhal urged the IMF in early August to step up joint work on a new cooperation program. Shevchenko had said earlier that Ukraine counted on a new cooperation program with the IMF amounting to $15 billion to $20 billion.

The country's monthly budget deficit has currently reached about $5 billion, not including the need for additional gas imports. Finance Minister Serhiy Marchenko has said that, since February 24, Ukraine has received $12.7 billion in external support and is negotiating another $14 billion. Ukraine received $4.4 billion in June and $1.7 billion in July and expects to receive $6 billion in August and $4.7 billion in September, he said.

"October and the following months depend on an outcome of negotiations with our IMF partners," Marchenko said.

According to experts, discussions on a new IMF program have been complicated by issues in macroeconomic forecasting and the program's structuring, as well as the exceeding of quota limits.