The National Bank of Ukraine (NBU) expects that the program of cooperation with the International Monetary Fund (IMF) will be extended for six-nine months, the central bank’s press service has reported on its Telegram channel.
"The current program ends on December 8 this year, and it is important to decide what's next. At present we are holding consultations with the IMF and looking forward to a decision to extend it for 6-9 months. This term is due to technical needs - that's how long it takes to pass all the reviews provided by the program," reads the report.
It is noted that the IMF started a virtual mission to Ukraine on September 21. The National Bank claims that it has fulfilled all the structural beacons assigned to the institution in the Memorandum of Cooperation between Ukraine and the IMF.
"According to the initial schedule, the next tranche amounts to 500 million special drawing rights, this is slightly more than $700 million. However, according to the results of negotiations during the mission, the amount of subsequent tranches may be adjusted," said NBU Governor Kyrylo Shevchenko.
As reported, on June 9, 2020, the IMF approved a new 18-month Stand-By Arrangement (SBA) for Ukraine worth about $5 billion with the immediate disbursement of $2.1 billion as the first tranche. The IMF completed a virtual mission to Ukraine for the first review of the SBA in mid-February without any recommendation about when to issue a next tranche.
Ukrainian Minister of Finance Serhiy Marchenko assumed that the 18-month SBA with the International Monetary Fund could be extended for six months.