NBU expects IMF decision on EFF fourth tranche in one week, $10 bln in overall external financing in March-April
The National Bank of Ukraine (NBU) announces positive changes in the issue of international financing recently, suggesting that Ukraine will receive more than $10 billion in March-April, including due to the positive decision of the IMF Board of Directors on the fourth disbursement of up to $900 million under the Extended Fund Facility (EFF) in a week.
"Ukraine has also reached the staff-level agreement on the third review of the program with the International Monetary Fund and expects to receive the decision of the IMF Executive Board in a week," the NBU said in a press release on Thursday.
"Overall, the country might receive more than $10 billion in March-April. A pickup in external assistance inflows in the near future will allow Ukraine to significantly increase its international reserves," the National Bank added.
The NBU recalled that at the end of February, the Council of the European Union approved the launch of Ukraine Facility instrument to the total amount of EUR 50 billion for 2024–2027. Under this instrument, Ukraine should receive EUR 4.5 billion of bridge financing already in March.
As reported, due to a sharp reduction in external financing, Ukraine's international reserves fell in January by 4.9%, or $1.98 billion, and in February by another 3.8%, or by $1.47 billion, to $37.05 billion.
In January, the National Bank lowered its forecast for Ukraine's international reserves at the end of 2024 to $40.4 billion from $44.7 billion.