The International Monetary Fund (IMF) announced on Friday that its board has completed a review, unlocking a $400 million disbursement for Ukraine to support its budget.
This brings total disbursements under Ukraine’s IMF-backed program to $10.1 billion.
Despite ongoing challenges, Ukraine’s economy has shown resilience, the IMF noted. However, economic growth, which slowed in the second half of 2024, is expected to decelerate further in 2025 due to a tight labor market and continued attacks on energy infrastructure.
The latest disbursement follows the seventh review of Ukraine’s $15.5 billion Extended Fund Facility program. IMF Managing Director Kristalina Georgieva acknowledged the severe economic and social toll of Russia’s ongoing war in Ukraine but credited macroeconomic stability to “substantial external support.”
Ukraine remains heavily dependent on foreign financial aid to sustain social expenditures and economic stability. The country has been at war since Russia’s full-scale invasion in February 2022, following Moscow’s annexation of Crimea in 2014.
Meanwhile, U.S. President Donald Trump has pledged to bring the conflict to an end.
