Ukraine gets US$2bn loan from IMF

According to Forbes, Ukraine is getting the $2B remaining from its IMF loan. According to the article the loan had been on hold because of decisions in the Ukraine to increase the minimum wage (among other factors) and the decision by the IMF to give out the money was pending. Apparently the decision was made on the basis that Ukraine needed the funds in order to pay its gas bill and continue supplying Western Europe with natural gas from Russia.

I understand that this US$2bn would have been the final payment in a US$16.5bn bailout from the IMF to Ukraine that was agreed to on October 26, 2008 (Business Week). This final payment was put on hold because Ukraine passed laws which, among other things, increased the minimum wage.

Ukraine (CIA World Factbook), had US$107bn in external debt as of December 2008, 3% unemployment rate, 37.7% of its population living below the poverty line, and US$7,400 GDP per capita (US$179.8bn over 45.7 million people).

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