Ukraine is expecting four tranches from the IMF and two from the EU in 2017
Ukraine expects to receive four tranches in 2017 from the International Monetary Fund’s credit program and two tranches from the micro financial assistance program of the European Union, as was stated at a press conference on Thursday, 26 January, by the Chairwoman of the National Bank of Ukraine. Valeriya Hontareva and Deputy Governor, Dmytro Sologub.
Hontareva stated that in the near future, Ukraine will receive the first of the planned tranches from the IMF. "The next tranche we plan to receive is in the amount of one billion dollars. Maybe, by early February. I don’t see any prerequisites which would prevent receiving the tranche from the IMF. I witnessed the negotiations between the President and Lagarde. There is a technical issue to discuss which is not in the scope of the National Bank of Ukraine," Hontareva said.
In March 2015, the IMF opened the four-year EFF program to Ukraine in the amount of $17 billion. It outlined a quarterly review of the program and for the allocation of the loan to Kyiv to be released in four tranches in 2015, and an additional four in 2016. However, to date, the country has received only three tranches. The first one for 5 billion dollars in March 2015, the second one for 1.7 billion dollars in August 2015, and the third one for 1 billion dollars in September 2016.
The European Commission, in July 2015, on behalf of the EU, allocated a loan in the amount of 600 million euro to Ukraine, representing the first tranche in of the new micro financial assistance program, the total budget of which is 1.8 billion euro. In the following months, it was anticipated that the European Commission would provide another 1.2 billion euro provided that agreed upon economic and structural reforms are successfully implemented.
Ukraine expected to receive 600 million euro at the end of 2015, and another 600 million in the beginning of 2016. This has not yet occurred.