You're reading: IMF to downgrade forecast of Ukraine’s GDP fall in 2014 to 6.5 percent

Experts from the International Monetary Fund (IMF) have downgraded the outlook for the fall in Ukraine's gross domestic product (GDP) in 2014, the latest agreed estimate is 6.5 percent, governor of the National Bank of Ukraine (NBU) Valeria Hontareva has said.

“A few days ago, I was in talks with IMF experts. Their forecasts have been downgraded. I cannot say what it will be at the end of the year, but more than 6.5 percent,” she said at the 11th YES forum in Kyiv.

At the same time, the NBU head stressed that there was no reason to fear default in Ukraine. “There is no reason to say that default is knocking at our doors,” she said.

Hontareva said that the stand-by agreement with the IMF envisaged the deterioration of key economic indicators in the near future, however it gave the instructions on how to act in such a case.

In particular, in late September, Naftogaz Ukrainy will repay government-guaranteed eurobonds worth $1.6 billion, which will show the country’s solvency, the NBU governor said.