Ukraine receives IMF loan

RUSSIA / FSU POLITICS - In Brief 14 May 2020 by Alex Teddy
On May 13 the Ukrainian Parliament approved a banking law known as the Anti-Kolomoisky Act. The law forbids failed banks being restored to former shareholders. This specifically relates to Privat Bank which Ihor Kolomoisky used to own. This law was a precondition for receiving an IMF loan. This is the only way the country can service its debt and weather the coronavirus economic storm. Privat Bank was nationalized in 2016. The National Bank of Ukraine (NBU) discovered that Privat Bank had a USD 5.5. billion hole in its finances. Kolomoisky and his cronies plundered the bank using shell companies and false loans. Kolomoisky sought restitution of the bank or USD 2 billion in compensation. NBU accused him of waging a campaign of terror against its staff. President Zelensky will be breathing a huge sigh of relief. Some of his party voted against the bill. Zelensky was suspected of being bankrolled by Kolomoisky. Kolomoisky's minions in parliament tabled 16 000 amendments to the bill to try to stop it. Parliament allowed deputies to vote on the amendments in one big block. Otherwise the debate would have taken until September 2020. 270 deputies voted for the bill. Only 226 were needed.The exact date that the first instalment of the IMF loan will arrive is as yet unknown. The prime minister said it would be probably by the end of May 2020.

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