Ukraine has secured a $15.6 billion “loan” package from the IMF. I do not support the loan (money printing) by the IMF globalists. It is unlikely to be repaid. This is the first time the IMF has made a loan to a country at war. Bloomberg reports:
Ukraine won staff backing for a $15.6 billion loan from the International Monetary Fund, setting up the first loan to a nation at war in the institution’s 77-year history.
The IMF and the government in Kyiv reached a staff-level agreement on a comprehensive loan program over four years, the Washington-based lender said in an emailed statement on Tuesday. The agreement is expected to be finalized with the approval of the IMF board in coming weeks.
The program will be divided into two phases. In the first, lasting 12-18 months, Ukraine will take measures to “strengthen fiscal, external, price and financial stability,” including eliminating monetary financing.
The second phase would shift to more expansive reforms to bolster macroeconomic stability and support the nation’s recovery and reconstruction, including in light of Ukraine’s goal of European Union accession. During this period, Ukraine “would be expected to revert to pre-war policy frameworks, including a flexible exchange rate and inflation targeting regime,” the IMF said.
IMF staff forecasts for Ukraine’s economy this year range from a 3% contraction to 1% expansion, after a slump of 30% in 2022.
“A gradual economic recovery is expected over the coming quarters, as activity recovers from the severe damage to critical infrastructure, although headwinds persist, including the risk of further escalation in the conflict,” Gavin Gray, who led the IMF’s mission, said in a statement.
The unprecedented agreement required the IMF to change its policies. The Russian invasion, launched over a year ago, has laid waste to Ukraine’s export economy and infrastructure, killing thousands of people and driving more than a third of a pre-war population of 40 million from their homes.
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