Ukraine will receive $1.5 billion in support of its development policy through the World Bank mechanism

The World Bank’s Board of Directors has approved a $1.5 billion Growth Foundations Development Policy Loan for Ukraine.

This was reported by the press service of the Cabinet of Ministers of Ukraine.

According to the statement, the funds will be provided under the guarantee of the Government of Japan through the World Bank Trust Fund (ADVANCE Ukraine), totaling $984 million, and under the guarantee of the United Kingdom, totaling $516 million.

To alleviate the cost of servicing Ukraine’s credit obligations under the DPL2024 loan in the coming years, the DPL loan agreement includes the capitalization of $99.54 million in interest from Japanese funds.

The DPL project aims to support reforms in Ukraine, with the funds being credited to the general fund of the state budget in a single tranche based on completed tasks prior to the agreement’s signing. These reforms encompass enhancing corporate governance, promoting renewable energy, and introducing agricultural notes, a new instrument for financing farmers.

Furthermore, the reforms seek to strengthen the financial sector by improving access to finance for businesses, aligning Ukrainian legislation with EU customs and tax practices, and enhancing fiscal policy and capital market regulation. The initiative also prioritizes ensuring transparency and accountability of customers in the e-procurement system.

Earlier, French President Emmanuel Macron announced that unity had been achieved in Europe in support of Ukraine.