Would you like to receive notifications on latest updates of the following headlines?

Economic slowdown: IMF, Ukraine reach $1.1bn support deal

POSTED ON September 11, 2024 •   World      BY Abiodun Saheed Omodara •   VIEWS 77
People walk on a pedestrian bridge during the sunset in city center of Kyiv, Ukraine, September 9, 2024. l Credit: AP

The International Monetary Fund said on Tuesday it had reached a preliminary agreement with Ukraine that would give the war-torn country access to about $1.1 billion in financial assistance.

The agreement follows what Kyiv said on Tuesday were "difficult" talks and is subject to approval by the fund's executive board, which the IMF said in a statement is expected to happen in "coming weeks".

The IMF is a key international lender to Kyiv and its four-year $15.6 billion programme is a crucial part of a bigger global economic support package to Ukraine as it gears up for a third winter trying to fend off Russia's full-scale invasion.

"Russia's war in Ukraine continues to have a devastating impact on the country and its people," Gavin Gray, who led the IMF's monitoring mission to Kyiv for the fifth review of the lending programme, said in a statement.

"Skillful policymaking, the adaptability of households and firms, and robust external financing has helped support macroeconomic and financial stability."

The IMF, however, said that the risks to Ukraine "remain exceptionally high" with an economic slowdown expected due to the impact of the war on labour market and Russia's continued attacks on the energy infrastructure, among other factors.

Kyiv is spending about 60% of its total budget to fund its army and relies heavily on financial support from its Western partners to pay pensions and wages to public sector employees and finance social and humanitarian spending.

Ukraine has received about $98 billion in financial aid from its Western partners since the start of the war, finance ministry data showed.

The IMF urged the Kyiv government, which President Volodymyr Zelenskiy reshuffled last week, to "respect financing constraints and debt sustainability objectives" in the 2025 budget and look for ways to increase domestic revenues.

The government has said previously it plans to raise taxes and has already implemented other fiscal measures, including increasing import and excise duties.

Ukraine also won an agreement from bondholders to restructure and write down its debt.

0
RECOMMENDED FOR YOU
US poll: Court orders Elon Musk to defend $1m election giveaway
BY Benedicta Bassey October 31, 2024 0

Elon Musk has been ordered to appear in court on Thursday following a lawsuit concerning $1 million...

RECOMMENDED FOR YOU
Canadian official fingers Indian minister in campaign against Sikh Separatists
BY Benedicta Bassey October 30, 2024 0

A Canadian official, has indicted the Indian Home Minister,  Amit Shah of direct involvement in...

RECOMMENDED FOR YOU
New Zealand facilitates doctors' registration to tackle shortage
BY Benedicta Bassey October 29, 2024 0

The New Zealand government has implemented moved to facilitates the registration of overseas doctors...

RECOMMENDED FOR YOU
Nigeria: EU supports dialogue on increasing women's participation in governance
BY Abiodun Saheed Omodara October 28, 2024 0

The European Union (EU) on Monday supported a key dialogue focused on women’s inclusion and re...

RECOMMENDED FOR YOU
S’Arabia raises $1.1bn for displaced persons in Nigeria, Lake Chad, Others
BY Abiodun Saheed Omodara October 28, 2024 0

Saudi Arabia, through the King Salman Humanitarian Aid and Relief Centre (KSrelief), has raised over...

RECOMMENDED FOR YOU
Trump targets Harris, says she's unfit for presidency
BY Benedicta Bassey October 28, 2024 0

Republican presidential candidate Donald Trump rallied his Make America Great Again (MAGA) supporter...

RECOMMENDED FOR YOU
Japan’s ruling coalition suffer major loses in poll amid scandal
BY Benedicta Bassey October 28, 2024 0

In Japan's Parliamentary election, Prime Minister Shigeru Ishiba’s ruling coalition, suffered...

RECOMMENDED FOR YOU
Israel-Iran conflict, UN Security Council to hold emergency meeting today
BY Benedicta Bassey October 28, 2024 0

The United Nations Security Council (UNSC) will on Monday (today) hold an emergency meeting at Iran&...

OUR CHANNELS:

OTHER ARTICLES ::

5th November, 2024
Economic Showdown: Atiku's Critique vs. Tinubu's Policies A Leadership Divide
BY ROCKETPARROT.com staff November 5, 2024 0

In a recent exchange highlighting the growing tensions in Nigeria's political landscape, former Vice...


Indianapolis Woman Dies in I-65 Accident Near Columbus After Return from Kentucky Event
BY ROCKETPARROT.com staff November 5, 2024 0

COLUMBUS, Ind. — A tragic accident claimed the life of Indianapolis resident Omotope G. Oyedir...


Adriano's Decline: From Football Glory to Favela Streets
BY ROCKETPARROT.com staff November 5, 2024 0

Health concerns arise as a recent video surfaces showing Adriano, the former Inter Milan and Brazil...


Proposed tax reform bills not against North, says Presidency
BY Abiodun Saheed Omodara November 5, 2024 0

The Presidency has said contrary to job loss fears and perceived marginalisation of the North, the t...


Kaduna approves N72,000 minimum wage
BY Abiodun Saheed Omodara November 5, 2024 0

The Kaduna State Governor, Uba Sani, has approved a new minimum wage of N72,000 for civil servants i...


Man Utd seal deal with Amorim as new manager — Report
BY Abiodun Saheed Omodara November 5, 2024 0

Manchester United has finalised an agreement with Sporting Lisbon to appoint 39-year-old Ruben Amori...


Nile Group collaborates with Ooni of Ife to manage his theaters
BY Ebiakuboere England November 5, 2024 0

His Imperial Majesty, the Ooni of Ife, and Nile Cinemas have inked a historic management contract fo...


Bruno Mars tops Spotify monthly listeners record
BY Ebiakuboere England November 5, 2024 0

Grammy-winning singer Bruno Mars has broken the previous record with 120,862,858 monthly Spotify lis...


South Africa to strip Chidimma Adetshina of ID documents
BY Ebiakuboere England November 5, 2024 0

Nigerian-South African Model Chidimma Adetshina faces the possibility of losing her national documen...


Senate confirms seven ministerial nominees
BY Benedicta Bassey November 5, 2024 0

The Senate has screened and confirmed seven ministerial nominees appointed by President Bola Ahmed T...


Menu