WASHINGTON, Feb 27 - Officials from the International Monetary Fund said on Friday that it is essential for Ukrainian authorities to implement the structural reforms they committed to under an $8.1 billion lending arrangement that the IMF's board approved on Thursday.
The IMF's mission chief for Ukraine, Gavin Gray, told reporters the package of reforms includes tax changes that Kyiv agreed to adopt by the end of March. Those measures involve adjustments to the value-added tax - specifically the VAT threshold - and Gray emphasized that earlier implementation would be preferable.
Deputy mission chief Trevor Lessard said IMF staff are closely watching reports that some holders of Ukraine's dollar-denominated bonds, who accepted terms in an earlier restructuring, are looking for ways to secure improved terms. Those bondholders are reportedly concerned that the December restructuring may have left them at a disadvantage.
Lessard noted that under the current loan arrangement there are no anticipated additional debt service payments. However, he added that the IMF would change its approach if the situation required it.
The fund's comments underscored two immediate priorities for the Ukrainian program: delivering agreed fiscal and tax reforms by the stated deadline, and monitoring creditor responses to past restructuring agreements. IMF officials framed both issues as matters for ongoing attention as the program is put into effect.
The officials' public remarks focused narrowly on the program's conditional reforms and the fund's surveillance of creditor behavior. They did not point to any alternative measures or to changes in the loan's current debt service expectations beyond the statement that the IMF would adapt its approach if necessary.