The Ministry of Finance explained why the IMF postponed a meeting on tranche for Ukraine

The international monetary Fund postponed a meeting on tranche to Ukraine in connection with the transport blockade of Donbass.

This is stated in the message of the Ministry of Finance of Ukraine.

It is reported that the IMF Executive Board postponed for a short period is scheduled for March 20 consideration of the completion of the third review of the eff Program for Ukraine.

The reasons for the transfer referred to the need for clarification of the calculation of the economic consequences of the measures taken by Ukraine in response to the blockade and capture of the enterprises in the occupied Donbass, and also in connection with the recognition by the Russian side, “documents”, issued in these areas.

“Clarification of these calculations is important for both parties for maximum effectiveness of the program. Appropriate consultations have already begun. We plan to complete them in the shortest possible time,” said Finance Minister Alexander danyluk.

As reported, the question of the third review of the eff the EFF for Ukraine disappeared from the agenda of the Board of Directors of the International monetary Fund on March 20. Any information about the reasons of such changes on the Fund’s website is missing. Agenda painted before 24 March and Ukraine in it.

As reported, the decree of the President of Ukraine Petro Poroshenko on 16 March entered into force the NSDC decision of 15 March about the interruption of the movement of goods across the line of contact in the Donetsk and Lugansk regions. The decision does not apply to humanitarian cargo and crossing of the demarcation line people.

On March 4, the IMF announced the agreement with the authorities of Ukraine in respect of the Memorandum of economic and financial policies. This opens the way for the completion of the third review of the eff the EFF, the results of which Ukraine may be granted the fourth tranche of funding, volume SDR734,05 million (about $1 billion).

Open the IMF in March 2015 the four-year EFF program total amount of SDR12,348 billion (about us $17.25 billion) with the first tranche of $5 billion originally envisioned by the quarterly revision of the program, the allocation in 2015 of three more tranches of SDR1,18 billion ($1.65 billion) and a decrease in quarterly tranches in 2016-2018 to SDR0,44 billion ($0.61 billion).

Ukraine was able to obtain a small delay in the second tranche for this program to $1.7 billion in early August 2015, and then there was a long pause because of the outstanding number of conditions, political crisis and change of government.

After the arrival of the new Cabinet, headed by Volodymyr Groisman in April 2016, the negotiations on the continuation of funding was resumed, however, the IMF decided to allocate the third tranche of $1 billion only in mid-September.

On 16 March, the Minister of Finance of Ukraine Alexander danyluk said that the next credit tranche of the IMF under the EFF program may come to Ukraine next week. “The meeting (of the Board of Directors of the IMF – Ed.) will be held next Monday and next week we expect tranche, which is very positive,” he said, speaking at the annual conference of investment company “dragon Capital” in Kyiv on Thursday.