World Bank to loan UAH 3 b to Ukraine for 30 years at annual interest rate of 5%, Tymoshenko says

Ukraine’s Cabinet of Ministers has signed an agreement with the World Bank about raising UAH 3 billion for 30 years at an annual interest rate of 5% to cover the budget deficit.

Ukrainian Prime Minister Yulia Tymoshenko said this while opening a meeting of the government in Kyiv on Wednesday.

“Today we completed our work with the World Bank and signed an agreement with the bank about raising a 30-year loan to the sum of UAH 3 billion to cover the planned budget deficit,” Tymoshenko said.

“This means that we will be able to cover the state budget deficit and that the cooperation with the World Bank is going well,” Tymoshenko said.

As reported, Ukraine expects to raise $500 million from the World Bank as a part of the third Development Policy Loan (DPL-III). The raising of the loan as a part of the DPL-III is foreseen in a cabinet resolution No. 1,455-r of November 19, 2008, which was posted on the Web site of the Ukrainian government.

Source of information: Interfax
http://www.interfax.com.ua/eng/main/1396/