Ukraine Expects to Start Discussions on Full-fledged IMF Program in the Coming Weeks: Sergii Marchenko for CNN

To cover the budget deficit in 2023, Ukraine is counting on the financial support of international partners, including the IMF. Ukraine has performed all the structural benchmarks agreed with the IMF under the Program Monitoring with Board Involvement and expects to start discussions on a full-fledged financial program with the support of the IMF in the coming weeks. This was stated by the Minister of Finance of Ukraine Sergii Marchenko during an interview with CNN.

In 2023, Ukraine's State Budget deficit reaches USD 38 billion. The European Union and the United States have already confirmed their intentions to provide Ukraine with EUR 18 billion and USD 9.9 billion, respectively, during the year. The gap remains at around USD 10 billion.

In addition, Sergii Marchenko noted that Wartime Bonds is one of the key tools for raising funds in times of war: "A week after the full-scale invasion of russia, the Ministry of Finance held the first auction for the issue of Wartime Bonds. Since March 1, 2022, we have attracted over USD 6 billion to the State Budget."

The Minister of Finance also emphasized that, in addition to budgetary needs, Ukraine needs about USD 17 billion to implement priority reconstruction measures in 2023. 

Russian aggression causes significant damage not only to Ukraine. Sergii Marchenko noted that Russia is one of the biggest threats to global financial security today.

"In order to protect our economic system from russian threats and to deprive russia of the opportunity to finance a brutal war, the member countries of the Financial Action Task Force (FATF) must expel russia from the organization and blacklist it as a high-risk jurisdiction. Ukraine has prepared and submitted to our partners a briefing paper with arguments and evidence of russia's non-compliance with FATF rules and principles. We expect that appropriate decisions will be made during the organization's meetings in Paris on February 20-24. The financial security of the entire world depends on it."