Ukraine Seeks IMF Support to Bridge Wartime Budget Deficit

In a bid to address its growing budget deficit amid ongoing conflict, Ukraine has welcomed an International Monetary Fund (IMF) mission. The primary focus for Kyiv is securing financial resources to sustain increased military expenditures while managing fiscal shortages that are projected to widen in the subsequent years.

Ukraine's Finance Minister Serhiy Marchenko highlighted the strategic intent to align fiscal projections and structural reforms with the anticipated budgetary needs. This plan involves preliminary work on the draft budget for the upcoming fiscal year, with a current shortfall of $38 billion anticipated.

Central Bank Governor Andriy Pyshnyi reported that one-third of the required $65 billion for the years 2026 and 2027 has been promised, pointing to ongoing negotiations for additional funding. Meanwhile, Ukraine continues its engagement with a $15.5-billion lending arrangement with the IMF, signaling desires for further financial collaboration.

(With inputs from agencies.)