The International Monetary Fund (IMF) has changed its lending rules to allow for an unprecedented $15 billion package of financial support to Ukraine.
The IMF announced the changes in the wake of the country’s deepening political crisis and its currency, the hryvnia, hitting a record low against the U.S. dollar.
The new rules will allow for the creation of a so-called “stand-by arrangement”, which is a form of financial assistance that the IMF offers to countries facing economic crises. The funds will be used to help stabilize the economy and stabilize the value of the hryvnia.
In addition, the IMF will also provide technical assistance to help Ukraine reform its economy, including measures to tackle corruption and improve the country’s weak banking sector.
The IMF said that the package of support was designed to “help Ukraine restore macroeconomic and financial stability, and lay the groundwork for a return to sustainable economic growth.”
The move has been welcomed by Ukraine’s leaders, who have been struggling to contain the impact of the crisis on their country’s economy. It is hoped that the package will help to restore investor confidence and encourage further economic reforms.
