IMF Launches Reform Support Fund in Ukraine
The International Monetary Fund (IMF) has announced the establishment of the Capacity-Building Fund for Ukraine, which has already received $14 million from donors, according to the statement made by the Head of the National Bank of Ukraine, Andriy Pyshny, on Facebook.
The resources from this fund will be directed towards meeting the needs of Ukraine's development plan and the effective implementation of reforms, as highlighted by Andriy Pyshny.
"We all understand that war imposes its limitations, so I am convinced that such projects will allow us to compensate for them and make us stronger. We will not postpone our lives and our development for later. Moreover, without preparation right now, there can be no swift recovery after Victory. The IMF has once again demonstrated its leadership in mobilizing financial assistance for Ukraine. Currently, donors have already allocated $14 million. The goal is to raise $65 million," as stated in the announcement by the Head of the National Bank of Ukraine.
Furthermore, Andriy Pyshny emphasized that in the two recent agreements between Ukraine and the IMF, the primary focus is on maintaining stability in macroeconomics, external affairs, and finance to enhance Ukraine's capacity.
Additionally, important areas of work include providing international financial assistance, reforming the Ukrainian economy, and strengthening the institutional capacity of government agencies.
"I am grateful to the Fund, represented by Geeta Gopinath, who acknowledged our achievements. I am grateful to the governments of partner countries (representatives of Lithuania, Slovakia, and Japan were present at the event) for their unwavering stance and the words, 'We will support as much as is needed.' Our meeting today is not just a demonstration of solidarity with Ukraine. It is a readiness to step by step enhance stability and the development of Ukraine's financial system, our Eurointegration aspirations, and the ability to withstand the consequences of military aggression," stated Andriy Pyshny.
Earlier, the Managing Director of the IMF, Kristalina Georgieva, praised Ukraine's economic policy during the war. Georgieva stated that after the first IMF review in June, Ukraine had made progress in increasing its own revenues. The tax collection rate stood at 36% of GDP, and Georgieva considered these figures "outstanding" for a country during a war.
It is worth noting that in the summer, the International Monetary Fund called for the regulation of cryptocurrencies in individual countries, expressing the view that a complete ban might be ineffective in the long term.