First tranche of IMF loan for Ukraine could total around $3 bln – Finance Ministry

The International Monetary Fund (IMF) could begin carrying out its $14-18 billion stand-by agreement with Ukraine by issuing the first $3 billion tranche of the loan, Ukrainian Finance Minister Oleksandr Shlapak told journalists in Kyiv on Friday following a government meeting.

"We have not yet come to a final agreement with the IMF. There was a promise in the draft. […] They are now ready to talk about a first tranche of around $3 billion," he said.

Shlapak also said that if such tranche is provided, "half of this money will be meant for the National Bank of Ukraine (NBU), and the other for the state budget."

There is no fixed formula for the distribution of the money, the minister said.

As reported, the IMF's mission reached a working-level agreement on March 27 with Ukrainian leadership on opening a two-year credit of between $14 billion and $18 billion.

The agreements are awaiting approval by the IMF's governing bodies, and the fund's executive committee will reach a decision on the issue in April.