The Executive Board of the International Monetary Fund (IMF) has approved a disbursement of US$1.3 billion (SDR 1,005.9 million) under the food shock window of the Rapid Financing Instrument (RFI) to help meet Ukraine’s urgent balance of payments needs, according to the official website of IMF.
Amid massive population displacement and destruction of housing and key infrastructure, real GDP is projected to contract by 35 percent in 2022 relative to 2021 and financing needs remain very large. This disbursement under the RFI (equivalent to 50 percent of Ukraine’s quota in the IMF) will help meet urgent balance of payment needs, including due to a large cereal export shortfall, while playing a catalytic role for further financial support from Ukraine’s creditors and donors.
