Moscow wants to block IMF lending to Ukraine

"Russia is exploring strategies to try to block the International Monetary Fund’s next loan payment to Ukraine as a dispute between the two countries over a $3 billion bond comes to a head," reads the statement. According to the Fund’s current rules, the loans to borrowers who are behind in payments to official creditors are barred. The IMF considers easing this policy at the next board of directors meeting. Such lending may be allowed as long as the borrowing nation meets its obligations under the IMF program and bargains in good faith with the creditor country. According to the sources, Russia may withhold its assurance that Ukraine can repay its debts to Russia or it could also argue that Ukraine hasn’t negotiated in good faith. The Kremlin hasn’t yet decided whether to pursue these paths at the IMF, Bloomberg writes. As reported, the IMF allocated USD 5 billion to Ukraine in March and another USD 1.7 billion in August.