Press Release No. 15/530

Press Release: IMF Statement on Discussions with Ukraine on the Second Review of the Extended Fund Facility Arrangement

November 20, 2015

An International Monetary Fund (IMF) mission visited Kyiv during November 12 -20, to continue discussions on the second review under the Extended Fund Facility Arrangement (EFF) in support of the authorities’ economic reform program (see Press Release No. 15/107). At the conclusion of the visit, Ron van Rooden, mission chief for Ukraine, issued the following statement today:

“The mission continued constructive discussions with the authorities on policies that are needed to complete the second review under the EFF arrangement. Significant work at a technical level helped advance mutual understandings regarding the planned tax reforms and the implications for the 2016 budget. Accordingly, it is now important that the Government submits to Parliament a budget that is consistent with the program objectives of further reducing the budget deficit and public debt to safer levels, and that Parliament adopts such a budget. This will require permanent measures to broaden the tax base and rationalize spending. A strong fiscal position along with actions to rehabilitate the banking system and speed up economic reforms are critical to entrench financial stability and pave the way for strong and sustainable growth.”