Ukraine likely to get IMF tranche following next EFF revision
Ukraine is likely to receive the fifth tranche from the International Monetary Fund (IMF) by the end of this year after the fourth revision of the EFF program, analysts of Morgan Stanley investment bank believe.
"We believe that government ownership of reforms and willingness to cooperate with the IMF remain, although this will come more into conflict with pressure for populism in 2018. We keep our call and expect the fifth IMF tranche by the end of 2017," reads an analytical review from the bank.
Morgan Stanley said the delay of land reform until 2018 is not so fundamental for the IMF, because it is not among the necessary requirements for obtaining the next tranche. However, the fund expects Ukrainian authorities to introduce pension reform this autumn, privatization of state enterprises, the adoption of anti-corruption measures and an increase in gas tariffs scheduled for October 1.
Among the positive signals for the IMF analysts indicate the expected presentation of the candidacy for the post of head of the National Bank, which is to be held by the end of September.