IMF Managing Director: "Ukraine Needs $5 Billion Monthly... IMF Loans Are Not a Priority"

IMF Opens Special Account to Support Ukraine
"Subsidy-Type Support Is Most Ideal"

[Image source=EPA Yonhap News]

[Asia Economy Reporter Kim Hyunjung] Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), stated on the 20th (local time) that Ukraine needs $5 billion per month (approximately 6.175 trillion KRW) to maintain its basic state functions and economy. She emphasized that it is crucial for major countries to provide support in the form of grants, and that the IMF’s loan programs are not a priority.

According to Bloomberg News on the same day, Georgieva made these remarks at a press conference held in Washington DC during the IMF and World Bank (WB) Spring Meetings, urging countries to do their best to assist Ukraine and other nations affected by the war crisis.

She explained, "The IMF has provided $1.4 billion in emergency financing to Ukraine and has established a special account where other countries can safely contribute." So far, Canada is the only country that has pledged support to this account, announcing approximately $792.3 million in aid.

Georgieva noted that the estimated cost ($5 billion per month) does not include national reconstruction expenses, emphasizing, "Even if the war ends soon, the damage already incurred will be devastating to Ukraine’s economic activities for years to come." She also stated, "With most of the economy not functioning, relying on grant financing is the most appropriate approach," explaining that IMF loan programs involve restructuring measures that could actually delay Ukraine’s economic recovery and are therefore not a priority.

David Malpass, President of the World Bank (WB), emphasized at the press conference that the world must release food reserves to address the food supply instability triggered by Russia’s invasion of Ukraine. He welcomed India’s announcement to release reserves and called on developed countries to join in.

This content was produced with the assistance of AI translation services.