By Kanishka Singh
WASHINGTON (Reuters) -The International Monetary Fund said on Friday its board completed a review that would enable disbursing $400 million to Ukraine to be channeled for budget support.
Ukraine’s economy remained resilient despite challenging conditions, the IMF said in a statement.
However, it added that Ukraine’s economic growth, which slowed in the second half of 2024, will see a continued slowdown in 2025 due to a tight labor market and attacks on energy infrastructure.
“This will bring the total disbursements under the IMF-supported program to $10.1 billion,” the IMF said on the completion of its review.
This marked the seventh review of Ukraine’s $15.5-billion Extended Fund Facility program.
“Russia’s war in Ukraine continues to take a devastating social and economic toll on Ukraine. In spite of this, macroeconomic stability is being preserved,” IMF Managing Director Kristalina Georgieva said, giving credit in part to “substantial external support.”
Kyiv relies heavily on foreign financial aid to cover social expenditure and to support the economy.
Russia launched a full-scale invasion of Ukraine in February 2022. It had annexed Crimea in 2014. U.S. President Donald Trump has vowed to bring the war to an end.
(Reporting by Kanishka Singh and Jasper Ward in Washington; editing by Diane Craft and Rod Nickel)
