Peculiarities of IMF Memorandum Implementation in 2019

The International Centre for Policy Studies analysed peculiarities of IMF memorandum implementation in 2019.

Ukraine received the first part of the IMF tranche in the amount of 1.4 bln. dollars on December 25, 2018. Accordingly, there will be a need to struggle for an additional 2.5 bln. dollars. Of course, the Stand by requirements of co-operation are softer than under EFF, and the risks of non-obtaining the next part are lower, however the necessity of receiving the money “pressures” the government so that the interested stakeholders can take advantage of it and push their whims, especially before the elections, under cover of the necessity to meet the requirements of the memorandum. Therefore, it is necessary to analyse possible areas for manipulation.

The International Monetary Fund approved a program of assistance for Ukraine in the amount of 3.9 bln. dollars under the Stand by program on December 18, 2018. There are fewer requirements under this program. However, the interesting fact is that the review of the program and, accordingly, the progress of the implementation of the memorandum will only be in June-July, just after the presidential elections. On this basis, two risks can be noticed at once – attempts to reach the elections at any price and the uncertainty about the policy of the future president.

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