Vice premier says IMF could continue talks on second tranche to Ukraine within two weeks

Feb 26, 2009 at 11:55 | Interfax-Ukraine
An International Monetary Fund (IMF) mission might return to Ukraine within the next two weeks in order to resolve the question of continuing its cooperation with the country under a stand-by loan program, Vice Premier Hryhoriy Nemyria has said.

Prime Minister Yulia Tymoshenko and the fund's leadership agreed on Wednesday that the "IMF mission is ready to return to Ukraine next week or within ten to 12 days," he told the Fifth TV Channel late on Wednesday.

Nemyria said that the IMF is ready to accept the state budget's deficit of 3% if the country receives additional funds from other sources to cover this deficit.

"Those who point to the IMF's demand that there should be a zero budget deficit or a deficit-free budget either don't understand the situation or deliberately mislead citizens," he said.

Commenting on President Viktor Yuschenko's refusal to sign a joint statement of the Ukrainian authorities to the IMF, which was approved by the government, Nemyria said that "if the president fails to sign this joint statement, the IMF will recognize this with regret, however, this will not serve as a ground to close the program."

"They are ready to work with the [Ukrainian] government and the National Bank," he said.

He also commented on how much the hryvnia/U.S. dollar exchange rate depends on the IMF loan.

"These things are mutually connected," Nemyria said.