IMF ready to provide Ukraine with extra financing if necessary, while focus on anti-crisis management – IMF head
The International Monetary Fund (IMF) is discussing with Ukraine further steps on the necessary support, is participating in the development of anti-crisis management, Kristalina Georgieva, Managing Director of the International Monetary Fund, said at a press conference in Washington on the evening of March 10.
"We are ready to provide additional financing should that be necessary. At this point, as I said, the most critical ask from us is to make sure that Ukraine functions," the IMF head said.
"How to make sure that the functioning of the Ukrainian economy, the Central Bank, the Ministry of Finance, the key authorities is best tuned to the current crisis' circumstances," Georgieva said.
According to her, the IMF staff has been in constant contact with their Ukrainian counterparts since February 24, when Russia began the war against Ukraine, providing an auxiliary function in developing measures to manage the crisis, which the Central Bank and financial authorities promptly implemented.
"We have been very impressed by the determination of the Ukrainian authorities... As the conditions in the country evolve, we will do our best to be of service," the IMF head said.
Asked about the extent of the damage already done to Ukraine by the war, Georgieva said it was too early to make any estimates of damage, costs, and reconstruction plans.
"But for us, the IMF, or the World Bank, we need to see the end of hostilities to be able to assess what would be required for reconstruction. This being said, the order of magnitude is going to be quite large. We're talking about the large country, 44 million people, population with massive destructions seen in the key cities, Kyiv, as well as massive destruction of transport infrastructure," the head of the Fund said, admitting that the first estimates of the Ukrainian authorities at $100 billion in damage may be close to the truth.
Speaking about the already transferred $1.4 billion of emergency funding to Ukraine, which will be disbursed quickly for the vital functions of the state, Georgieva noted that the Fund will subsequently check their use.
"We had a very good experience with emergency financing for Ukraine, for the COVID crisis. Ukraine has audited how the money was spent and has provided a very good account on the role this emergency financing played. And we will be doing the same this time around," she said.
