The International Monetary Fund (IMF) approved emergency support for Ukraine worth $1.3 billion. It noted that the country remains in need of "large and urgent" external financing as it strives to maintain macro-financial stability. The IMF estimated the Ukrainian economy will shrink by 35% in 2022 compared to 2021.
"The impact on economic activity has been enormous: real GDP has severely contracted, inflation has risen sharply, trade has been significantly disrupted, and the fiscal deficit has increased to unprecedented levels," IMF Managing Director Kristalina Georgieva said. "As the [Ukrainian] economy adapts to the now prolonged war, key macroeconomic policies have been geared toward safeguarding priority expenditures, easing pressure on the hryvnia and international reserves, and preserving financial stability."