Ukraine to seek unfreezing of $15 bln IMF loan
KYIV, Ukraine (AP) — Prime Minister Mykola Azarov says Ukraine will restart talks with the International Monetary Fund to unfreeze a $15 billion loan program.
The program was suspended last year over the government’s reluctance to raise household gas prices. Authorities are unwilling to take the unpopular measure ahead of parliamentary elections in the fall.
Azarov told reporters Friday that talks with the IMF will reopen in the near future.
The economy is strained by higher prices for Russian gas, which is putting pressure on the Ukrainian currency. Ukraine is lobbying for cheaper gas, but is resisting pressure from Russia to cede control over its pipelines in exchange for a discount.
Azarov said Kyiv is instead proposing to form a three-way consortium between Moscow, Kyiv and the European Union to operate the pipelines.