The RRR4U consortium continues its regular monitoring of Ukraine’s compliance with the IMF financing program and the implementation of the Ukraine Plan, which is a prerequisite for receiving budgetary support from the EU under the Ukraine Facility.
The seventh monitoring report reflects the state of commitments as of the end of July 2024.
As of July, Ukraine remains in compliance with its key obligations under the IMF Program and the Ukraine Plan, which forms the basis for EU assistance to the country.
At the end of June, the IMF Board approved the successful completion of the fourth review of the Program. However, the fifth review may prove challenging, despite the fact that the only structural benchmark that needed to be met—the enactment of the law rebooting the Bureau of Economic Security (BEB)—has been achieved. This difficulty stems from the Fund's need to revise the macroeconomic forecast, which will require additional funds to cover the fiscal gap.
The European Commission has already issued a positive assessment regarding the fulfillment of the Ukraine Plan indicators that were due in the second quarter of 2024. The next step is the assessment by the EU Council, which would enable Ukraine to receive €4.2 billion in budgetary support from the EU.
Moreover, Ukraine has made progress towards an agreement with creditors on the restructuring of Eurobonds, which should alleviate the debt burden and free up resources for defense financing.
Collaboration with international partners is critically important for Ukraine. The success of this cooperation is vital for funding priority state budget expenditures, as domestic revenues are primarily directed towards security and defense.
Therefore, fulfilling commitments under financial support programs is not merely a requirement of donors—it is essential for Ukraine’s economic stability, transition to growth, and the improvement of living standards for its citizens. It also paves the way for building trust with all international partners and foreign businesses.
The RRR4U (Resilience, Reconstruction and Relief for Ukraine) consortium is a partnership of four Ukrainian civil society organizations with financial support from the Open Society Foundations and the International Renaissance Foundation. The consortium members are the Center for Economic Strategy, the Institute for Economic Research and Political Consultations, the Institute for Analytics and Advocacy, and the DiXi Group.
