IMF says will give cash to Ukraine

The IMF will release the second tranche of a $16.4 billion loan to Ukraine if Kiev proves it can finance a budget deficit, the Fund`s resident representative Max Alier was quoted as saying on Friday, according to Reuters.

"Our position now is such that if the government can agree on securing additional financing for its deficit, we will be pleased to release the second tranche," Interfax Ukraine news agency quoted Alier as telling a conference.

The 2009 budget passed by parliament before the New Year provides for a deficit equal to 3 percent of gross domestic product, while the International Monetary Fund had stipulated that the loan was contingent on a balanced budget.

Reuters

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