IMF hopes to mobilize as much funding as possible to aid Ukraine
By Andrea Shalal
WASHINGTON (Reuters) – Canada and Germany have already pledged over $2 billion to a brand new administered account arrange by the Worldwide Financial Fund to assist war-torn Ukraine, and different international locations have expressed curiosity, IMF spokesperson Gerry Rice mentioned on Thursday.
Rice declined to estimate the full quantity that may very well be raised within the account, however mentioned the IMF would really like it to be “as massive as doable,” given Ukraine’s enormous wants because it defends towards Russia’s invasion.
Hundreds of individuals have been killed since Moscow launched what it calls a “particular navy operation” on Feb. 24.
Rice mentioned the IMF had not been in a position to make an correct or complete evaluation of harm from the conflict, however mentioned the Kyiv College of Economics estimated in late Could that the bodily infrastructure harm already exceeded $105 billion.
The sum can be “a lot larger” if it factored in financial losses from lowered output, enterprise closures, and foregone revenues and funding, Rice mentioned.
The IMF in March authorized $1.4 billion in emergency assist to assist Ukraine finance its expenditure and shore up the stability of funds.
Rice mentioned Ukrainian authorities had indicated their willingness to have an IMF-supported program to assist stabilize the economic system and work on reconstruction, however that must wait till situations permitted.
For now, he mentioned the main focus was on boosting emergency near-term assist from worldwide donors, together with by way of the IMF-administered account arrange in April.
He mentioned Canada, which initially pledged $1 billion Canadian {dollars} to the account, and had raised the quantity by $250 million Canadian {dollars} since then.
Germany had additionally introduced a grant of $1 billion euros that will be channeled by way of the account, and a number of other different member international locations had been contemplating channeling monetary assist to Ukraine by way of the account.
The account will enable donors to offer grants and loans to assist the Ukrainian authorities meet its stability of funds and budgetary wants and assist stabilize its economic system.
(Reporting by Andrea Shalal and Jorgelina do Rosario; Enhancing by Bernadette Baum)
