11:22 Sep. 16, 2016
Ukraine may not squeeze much more from its latest .5 billion bailout, writes Bloomberg
While the International Monetary Fund has approved the third tranche of the rescue after a yearlong delay, the former Soviet republic failed to draw down the full amount from all but one of the seven loans it took between 1995 and 2010, leaving .5 billion untapped. The figure excludes .5 billion from a 2014 package that, while already faltering, was later expanded into the current program, which runs through 2019 and has .8 billion remaining.
The government that took over Ukraine after pro-Russian leader Viktor Yanukovych was ousted in 2014 is struggling to improve on previous administrations' track records on bailout loans. The billion cleared Wednesday by the IMF's board was scaled down from .7 billion and held up over budget disputes, the resignation of the prime minister and foot dragging over measures to eradicate decades of post-communist corruption.
On September 15, The International Monetary Fund's Executive Board has approved a third disbursement to Ukraine under the Extended Fund Facility (EFF) program.
"The Fund's decision paves the way to the U.S. financial aid worth USD 1 billion and macro-financial assistance worth an additional sum of EUR 600 million from the European Union, other international financial organizations," president Petro Poroshenko said in his video address posted on Facebook.