The International Monetrry Fund (IMF) is shocked and saddened by the war in Ukraine and is responding to the country’s request for emergency financing assistance, managing director Kristalina Georgieva, said.
In a joint statement with World Bank President David Malpass, Georgieva said that people are being killed, injured, and forced to flee, and massive damage is being done to the country’s physical infrastructure.
“We stand with the Ukrainian people through these horrifying developments.”
The war is also creating significant spillovers to other countries, Georgieva said, reinforcing comments made in an earlier statement on Febbruary 25 which warned of significant economic repercussions for the region and the world.
“Commodity prices are being driven higher and risk further fueling inflation, which hits the poor the hardest. Disruptions in financial markets will continue to worsen should the conflict persist. The sanctions announced over the last few days will also have a significant economic impact.”
Georgieva said the IMF is responding to Ukraine’s request for emergency financing through the Rapid Financing Instrument, which the board could consider as early as next week.
In addition, the IMF continues to work on Ukraine’s Stand-by-arrangement programme, under which an additional $2.2 billion is available between now and the end of June, Georgieva said.
“This crisis affects the lives and livelihoods of people around the world, and we offer them our full support.”