25 Nov 2022 12:46

Ukrainian Finance Ministry signs agreement on receiving $4.5 bln U.S. grant via World Bank fund

MOSCOW. Nov 25 (Interfax) - Ukrainian Finance Minister Sergei Marchenko and World Bank Regional Country Director for Eastern Europe (Belarus, Moldova and Ukraine) Arup Banerji on Thursday signed an agreement on disbursing a $4.5-billion U.S. grant to Ukraine.

"These grant funds are another considerable contribution to the financing of the urgent needs of our country. It will allow us to continue paying wages, social benefits and pensions, as well as providing assistance to internally displaced persons," Ukrainian media quoted Marchenko as saying in a press release.

The grant provided by the United States will be transferred to the World Bank's Multi-Donor Trust Fund for Ukraine as a third batch of financing, adding to the Public Expenditures for Administrative Capacity Endurance (PEACE) program. This funding will be used to pay pensions and to finance the government's certain social assistance programs such as helping households pay their utility bills, support for low-income families, children with disabilities, people with lifelong disabilities and internally displaced persons, paying for medical services under the medical guarantees program, etc.

To date, Ukraine has received $6.3 billion and 1.441 billion euros as part of the PEACE program, including a $5.8-billion grant from the U.S.

U.S. Secretary of the Treasury Janet Yellen said earlier this week that disbursement of $4.5 billion in economic aid for Ukraine would begin in the coming weeks. This financing will bring the overall amount of direct budget support for Ukraine to $13 billion, all in grants, Yellen said.