Timeline for discussions on new IMF program for Ukraine to be developed in coming weeks – fund
The next step after Ukraine’s official request to the International Monetary Fund (IMF) for a new cooperation program to replace the four-year EFF program opened in March 2023 will be the cooperation of IMF staff with representatives of Kyiv on macroeconomic policies that will allow it to continue to maintain stability, finance critical expenditures, and restore debt sustainability under the new program, said Julie Kozack, Director of the IMF Communications Department.
“The timeline for these discussions will be developed in the coming weeks as the team consults with the Ukrainian authorities,” she said at a briefing at the fund on Thursday.
“And with respect to the existing program, I don't have anything detailed for you right now, but I can say right now the focus is very much on moving to the new program,” Kozack also noted.
As for some more specific issues, such as financing needs, she said, IMF staff are currently analyzing financing needs for the rest of 2025, 2026, and the medium-term.
“The work that's underway is going to integrate, you know, proposed fiscal measures and a fiscal plan, which of course is also being discussed. Particular fiscal measures that are under discussion are the necessary prioritization of expenditures to an expenditure restraint, as well as revenue mobilization,” she noted.
"So those discussions and that work is all underway, and of course, part of that discussion will include looking at, you know, what are the appropriate assumptions for regarding the potential timeframe for the war, and how can that best be incorporated into the macroeconomic framework and the financing needs. And of course, as part of the discussions, we'll also be looking very carefully at the appropriate financing, mix of financing, what is the amount of financing that the IMF can provide, and of course, a discussion with Ukraine's external donors about, you know, the necessary external financing, and in addition, what is the appropriate amount of domestic financing and revenue mobilization for Ukraine to provide," she noted.
"The way that we work with countries is when they request a program, in this case, Ukraine has requested a new program, our staff then engages in a discussion with the authorities to put together an appropriate set of policies. So from our side, we are very committed to working closely, continuing our close collaboration with the Ukrainian authorities to help them in the area of our mandate, which is maintaining economic and financial stability," the official summarized.
