Finance Ministry: Ukraine to receive additional CAD 450 mln from Canada
The Cabinet of Ministers of Ukraine has amended the Basic Conditions for the implementation of state external borrowing in 2022 by attracting a loan from Canada, presented by the Minister of Finance, the press service of the Ministry of Finance of Ukraine reported on Friday.
"The draft resolution was developed by the Ministry of Finance for the possibility of increasing the amount of the concessional loan by CAD 0.45 billion (eq. $0.3 billion) under the loan agreement between Ukraine and Canada, resulting in the loan amount of CAD 1.4 billion (eq. $1.1 billion)," the message says.
It clarifies that the funds will be allocated to the state budget to finance priority expenditures, in particular to ensure priority social and humanitarian payments.
The ministry reminds that on June 17, the state budget of Ukraine received CAD 1 billion from Canada (eq. $0.8 billion) of a loan on preferential terms.
"These are the first funds that Ukraine has received through the mechanism of the administrative account of the International Monetary Fund. The loan repayment period is 10 years, the interest rate is 1.69% per annum. For additional tranches of the loan, the specified conditions are preserved," the Ministry of Finance summed up.