
The Kremlin received several dozen requests for interviews with Putin
February 9, 2024
The White House is considering a plan to “compel” European countries to pay for American weapons and send them to Ukraine
February 9, 2024Continued Western financing is a condition of the IMF’s $15.6 billion credit program. The allocation of the next tranche of $900 million will begin to be considered this month, Bloomberg reports.
Therefore, Ukraine is currently developing a plan in case US aid remains blocked. Among the measures being considered are the expansion of domestic bond sales, tax increases and expenditure reductions. This plan will be proposed to the IMF for further financing next week when Fund representatives visit Ukraine. Kiev wants to assure the IMF that it can service its debts even if allies do not provide assistance.
The Ministry of Finance and the National Bank of Ukraine believe that the IMF board may not approve the next loan disbursement without a budget plan if US funds remain blocked, a Ukrainian official told the publication. This year, Ukraine was supposed to receive $5.3 billion under the IMF program.
Expanding domestic borrowing will be a key source to replace US funds. The government believes that highly liquid Ukrainian banks will continue to invest funds they withhold from lending due to military risks in high-yield government bonds. It is expected to generate at least $5 billion in revenue this year. Additionally, the government may increase taxes or cut expenses.