World Bank ready to vigorously enlarge cooperation with Ukraine

During an official visit to Washington the Finance Minister Olexandr Shlapak has held a number of crucial and constructive meetings with the leaders of the World Bank to tackle financial support of Ukraine.

The meeting with the World Bank Managing Director Sri Mulyani Indrawati resulted into an oral agreement to realize an ambitious action plan.

So, the interlocutors agreed to stir up realization of the direct budget support projects of the bank (multi-sector loan for the development policy and a loan for the development policy in the financial sector). In the particular, a decision was taken to increase the first tranche of the multi-sector project from USD 500 million to USD 750, which Ukraine intends to receive in May of the current year. Moreover, in May the Government of Japan may provide co-financing of the mentioned project. 

Nowadays, there can be observed a vigorous activity in realization of investment projects in other economy sectors of Ukraine to the tune of USD 1.6 billion. In May of the current year it is expected to receive an investment loan for improvement of energy efficiency and heating supplies in the amount of USD 382 million.   

Thus, in the current year already the International Financial Corporation is ready to invest into the most perspective projects in Ukraine to the tune of USD 400 million. The Corporation is considering a possibility to render credit lines for the commercial banks aimed at crediting the Ukrainian economy, entrepreneurship, and raising energy effectiveness within the country.

So, the Ukrainian delegation agreed with the International Financial Corporation to undergo a selection of the most promising projects that could be qualified for receiving such IFC support.

Moreover, the Ukrainian officials held meetings with other specialists of the WB and discussed receiving consultations and technical support to Ukraine in the direction of stabilization of the financial crisis, realization of the effective regional policy, investment projects etc.

In particular, during the meeting with the leaders of the Multilateral Investment Guarantee Agency (MIGA), which appears one of the World Bank Group members, the parties achieved an agreement that the Agency would prolong the portfolio in Ukraine in the direction of guarantee the political risks for the foreign banks at the level exceeding USD 700 million.

There should be singled out a meeting of the Minister of Economic Development and Trade Pavlo Sheremeta and the Finance Minister Olexandr Shlapak with Ukrainians, employees of the World Bank and the IMF, who had created an informal supporting group in the mentioned organizations. They expressed readiness to actively facilitate the process of introducing reforms in Ukraine with applying the experience of international financial institutions. In addition, they agreed to transfer such consultations to the constant basis under the auspices of Ukraine’s Embassy to the U.S.A. and organize the first constituent meeting within the nearest weeks.