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Ukraine was granted US$331 million by Japan for macroeconomic stability strengthening

25.03.2016 11:18 "Agro Perspectiva" (Kyiv) Ukraine has received a long-term soft loan from Japan worth US$331 million in the framework of the joint project with the World Bank Development Policy Loan (DPL-II). The loan has been provided through the Japan International Cooperation Agency (JICA), Government Portal reports. As to the report, a concessional loan is the evidence of active implementation by Ukraine of important structural economic reforms — since the condition of this loan granting was the implementation by Ukraine of the 10 structural reforms, including the following areas: the elimination of the tax holes through the introduction of electronic administration of VAT; the reforming of the gas market; the establishment of effective control tools not just over the budget expenditure but the budget revenue as well, which involved extending the powers of the Accounting Chamber of Ukraine, etc. Reportedly, the finances of the loan from the Japanese Government, US$331 million, will be transferred to the General Fund of the State budget, thus helping to finance priority needs of the country, including social expenditures and key reforms. The loan main specifics are as follows: period: 20 years; grace period: 6 years; interest rate: Libor + 0.05%, or less than 1% per annum; payment: 2 times a year.

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