IMF delegation arrives in Ukraine

A delegation from the International Monetary Fund arrived in Ukraine yesterday for consultations and analysis of the 2010 budget, various news outlets reported. An IMF statement said the team will work in advance of the delegation that is due in Ukraine at the end of October for the third review of the country’s standby loan agreement and negotiations on allocation of the fourth loan tranche. Mykyta Mykhaylychenko: Negotiations with the IMF are expected to be hard as it is politically difficult for the government to implement all the IMF’s requirements in accordance with the loan program ahead of presidential elections (such as increasing gas prices for the population). At the same time, we do not expect the IMF to fully stop cooperation with Ukraine and any potential pauses in collaboration would be temporary.