Monitoring the Implementation of the IMF Program and EU Assistance №14

On 28 March 2025, the IMF Executive Board approved the seventh review of the Extended Fund Facility (EFF) programme, and on 31 March, Ukraine received another tranche of approximately USD 400 million.

The programme was once again reviewed due to the IMF’s flexibility: one structural benchmark was not met (approval of the strategy of the National Securities and Stock Market Commission), one was met with a delay (establishment of a new administrative court), and the deadlines for four others were postponed. At the same time, five new structural benchmarks were added to the programme covering reforms of the National Securities and Stock Market Commission, anti-corruption policy, the financial sector and corporate governance.

The IMF programme remains an important mechanism for coordinating and providing international financial support. At the same time, Ukraine continues to fall behind in meeting the established deadlines for structural benchmarks.

In April 2025, Ukraine received the fifth tranche of budget support from the European Union under the Ukraine Facility programme. The disbursement followed the timely fulfilment of the Ukraine Plan indicators for the fourth quarter of 2024. In addition, the European Commission approved a methodology for applying a partial-payment mechanism in cases where the Ukraine Plan indicators are not fully met. As a result, failure to meet some of the indicators for the first quarter of 2025 creates a risk of partial disbursement of the envisaged funding.

Successful cooperation with international partners is of critical importance for Ukraine, as financing for priority state budget expenditures depends on it, while domestic revenues are directed primarily towards the needs of the security and defence sector.

That is why the RRR4U Consortium continues to regularly monitor Ukraine’s fulfilment of its commitments under the IMF programme and implementation of the Ukraine Plan.

Fulfilling commitments under international financial support programmes is primarily important for Ukraine. It is a necessary precondition for ensuring macroeconomic resilience, moving towards sustainable economic growth, improving citizens’ well-being, and strengthening the confidence of international partners and foreign investors.

At the same time, the IMF programme and the Ukraine Plan do not cover all of Ukraine’s international commitments. Ukraine must also implement reforms required to receive financing from the World Bank, as well as implement the broader reform agenda that is a prerequisite for EU membership.