International Monetary Fund and Its Impact on the Financial System of Ukraine

Abstract

The proposed scientific article is devoted to the topical issue of the need for Ukraine’s cooperation with the International Monetary Fund. In the context of the growing socio-economic crisis phenomena in the world and taking into account the significant problems that have been taking place in the Ukrainian economy in recent years, it is advisable to assess the IMF’s impact on the financial system of Ukraine. The article is aimed at studying in-depth the key problems of Ukraine’s cooperation with the International Monetary Fund, covering the impact of loans granted to Ukraine from the IMF on the country’s financial system and developing possible directions and ways to ensure effective cooperation between Ukraine and the IMF for the future. In analyzing and generalizing the scientific papers of domestic and foreign scientists, the authors consider the views on strengthening the role of the International Monetary Fund, which is caused by the spread of COVID-19, analyze the key functions of the International Monetary Fund and criticism on the part of the IMF for servicing the economic and political interests of the countries that have the highest quota, and not those in need of financial assistance. The article considers the dynamics of Ukraine’s use of IMF credit programs, in particular: dynamics of borrowings and repayments by Ukraine of the borrowed resources from the IMF; credit programs within the framework of Ukraine’s cooperation with the IMF in 2014–2021; share of debt to the IMF in the external and total public debt of Ukraine; critical indicators of Ukraine’s public debt and economic consequences. Prospects for further research in this direction are finding ways to improve the debt policy strategy, as well as to implement a coherent strategy for managing the external public debt.