The IMF mission has begun the eighth review of the Extended Fund Facility (EFF) program with Ukraine

The IMF mission has begun the eighth review of the Extended Fund Facility (EFF) program with Ukraine

The International Monetary Fund (IMF) mission has started its work in Ukraine regarding the eighth review of the record Extended Fund Facility (EFF) program. Currently, the country is meeting all quantitative targets, has completed two structural benchmarks, and is following the rest according to the approved plan.

This was reported by the National Bank of Ukraine (NBU). The IMF mission began its work on May 20, following a remote inaugural meeting held with the participation of the National Bank, the Ministry of Finance, and the IMF.

"As of now, all quantitative targets are being met. Additionally, two structural benchmarks have been completed (one ahead of schedule), and others are being executed according to the approved plan," highlighted the NBU.

Several key topics are planned for discussion, namely:

• plans for mobilizing domestic revenues;
• ensuring debt sustainability;
• continuing structural reforms in the financial sector;
• advancing public investment management reforms;
• reforming financial market infrastructure to attract private financing.

Meanwhile, the NBU prioritizes curbing inflation. Therefore, the financial regulator plans to discuss with the fund’s representatives measures to reduce inflationary price pressure. The issue of further currency liberalization also remains relevant.

"Consistent leadership support from the IMF and joint work on fulfilling all commitments under the EFF program is one of the main conditions for maintaining sustainable external financing. I thank the IMF team for their extremely effective interaction and ability to create a constructive, open atmosphere at work. The NBU, as always, is focused on results," stated the governor of the NBU, Andriy Pyshny.

IMF Assistance to Ukraine: Conditions and Terms

The four-year IMF program for Ukraine under the Extended Fund Facility (EFF) was approved on March 31, 2023. The total financing up to 2027 has been a record for the fund’s cooperation with Ukraine—amounting to about 15.5 billion dollars.

The latest, seventh, tranche of 400 million dollars was received by Ukraine on March 31, after which the total amount of funding received under the program will reach 10.1 billion dollars. Meanwhile, the new memorandum introduced four new structural benchmarks:

• developing an operational plan for implementing the IT strategy for the State Tax Service and State Customs Service (as part of the National Revenue Strategy) by the end of September 2025;
• adopting sectoral strategies according to the new public investment management strategy by the end of December 2025;

• conducting an independent assessment of the professional competency and business reputation of the National Securities and Stock Market Commission (part of a previous benchmark that was not met by the regulator) by the end of June 2025;
• revising the procedure for selecting and appointing members to supervisory boards of state enterprises by the end of August 2025.

In case of a positive conclusion from the mission, the IMF Board of Directors will make a decision on the next tranche in June. Overall, in 2025, Ukraine may receive 2.7 billion dollars based on the results of four quarterly reviews.