IMF approves reduction of number of reviews of EFF for Ukraine to 10
The Executive Board of the International Monetary Fund (IMF) along with the third review of the Extended Fund Facility (EFF) for Ukraine has approved the change of the schedule of reviews of the document.
According to the new schedule presented in the materials of the IMF, three reviews are planned for late 2017: fourth review in the middle of May, fifth in the middle of August and sixth in the middle of November.
The previous schedule foresaw four reviews in 2017: fourth in the middle of February, fifth in the middle of May, sixth in the middle of August and seventh in the middle of November.
If Ukraine successfully conducts reforms after the fourth review the country could raise $1.907 billion, after the fifth review - $1.28 billion, sixth review - $1.28 billion. In general, some $4.46 billion could be attracted.
In 2008, four more reviews will be conducted and Ukraine could raise around $955 million after each review or some $3.82 billion in general.
The four-year EFF program launched by the IMF in March 2015, in the total amount of SDR 12.348 billion (around $17.25 billion), initially involved quarterly reviews of the program, with the first tranche of $5 billion, and the next three, SDR 1.18 billion each (around $1.65 billion), to be paid during 2015, and decreasing quarterly tranches to SDR 0.44 billion ($0.61 billion) in 2016-2018.
Ukraine was able to receive, with a slight delay, the second tranche, $1.7 billion, under this program, in early August 2015, followed by a lengthy pause because of the country's failure to meet a number of conditions, political crisis and changes in the government.
Since the arrival of a new government led by Volodymyr Groysman in April 2016 talks over continued funding have resumed but it was not until mid-September that the IMF decided to allocate the third tranche, $1 billion. The fourth tranche was received on April 3, 2017.