Ukraine needs $3 billion in donor financing per month to continue standing up to Russian aggression and avoid monetary financing. Deputy Minister of Finance of Ukraine Olga Zykova said this at the international business forum dedicated to the Rapid Recovery of Ukraine.
According to her, the government took measures to reduce the budget deficit by increasing tax and customs revenues as well as optimizing a number of areas of budget expenditures. However, in 2023, the need for international financing will remain significant and amount to about $3 billion every month. This money will provide an opportunity to avoid monetary financing, which would have a negative impact on the economy.
"Currently, the Ukrainian government has confirmation of financing from the EU and the US of about $30 billion for 2023. However, there is still a need for another $10 billion. And here we count on help from other countries and international financial organizations, in particular the IMF," said Olga Zykova.
The MoF official emphasized Ukraine's commitment to efficiently and transparently use donor funds.
"Active work is currently underway to create appropriate mechanisms," Olga Zykova said.
Monetary financing is the direct emission of new money into the government budget.
reported in late January 2023 that the IMF was considering a multiyear aid package for Ukraine worth as much as $16 billion to help cover the country’s needs and provide a catalyst for more international funding.