The International Monetary Fund has announced that its board of directors has approved a £12.6bn ($15.6bn) four-year loan program for Ukraine as part of a £93 billion ($115 billion) global package.

In his press release published on March 31, they wrote that the loan was necessary because “Russia‘s invasion of Ukraine continues to have a devastating economic and social impact.”

“UkraineThe EFF-supported program of ‘s aims to anchor policies that support fiscal, external, price and financial stability and support economic recovery, while improving governance and institutions to promote long-term growth in the context of post-war reconstruction and Ukraine‘s path to EU accession,’ said the IMF statement.

The government’s program consists of two phases. The first phase (2023-24) will focus on implementing a robust budget for 2023, maintaining disinflation and exchange rate stability, strengthening financial stability and continuing governance and anti-corruption reforms.

The second phase will focus on ambitious structural reforms to support recovery, early post-war reconstruction and long-term growth in line with Ukraineobjectives for accession to the EU.

The approval of the loan is expected to mobilize large-scale concessional financing Ukraine‘s international donors and partners, to help solve Ukrainesolve the balance of payments problem, achieve medium-term external viability and restore debt sustainability on a forward-looking basis, both in a base and downside scenario”.