IMF aims to bring combined second and third EFF reviews for Ukraine to Executive Board by December

The International Monetary Fund (IMF) is working to bring the combined second and third reviews of Ukraine's Extended Fund Facility (EFF) program to the Executive Board for consideration by December this year. IMF spokesperson Julie Kozack stated that the staff is focused on addressing the financing gap projected for Ukraine and obtaining the necessary financing assurances to ensure the program's timely completion.

The first review of the four-year EFF program, approved in February, was completed in July, and the IMF visited Ukraine from September 2 to 19. Recent bilateral meetings between IMF Managing Director Kristalina Georgieva, President Volodymyr Zelenskyy, and Finance Minister Serhiy Marchenko further underscored the discussions surrounding the program.

The size of the financing gap remains uncertain, depending on various factors such as the war's progress, reform implementation, economic conditions, and international support. Ukraine's external financing needs for 2027, totaling $52.6 billion, include $32.6 billion still requiring confirmation. The EU is expected to fulfill its commitment to cover two-thirds of Ukraine's financing needs, adding about $17.5 billion.

The remaining $15 billion could be sourced from bilateral financing, guarantees, or international financial institutions. Increasing financing through frozen Russian assets remains a possibility, though no solutions are currently available. Ukraine must fulfill its commitments to secure new financing and receive the already agreed-upon funds, with domestic political situations and election results in partner countries heavily influencing negotiations.

The EFF program, approved in February 2026 for $8.1 billion, has seen the completion of the first review, which disbursed a second tranche of $690 million, bringing total financing to $2.2 billion. The second review, scheduled for late 2025, is intended to provide $0.50 billion, while the third review, slated for December, would provide $0.70 billion.