World Bank considers large loan for Ukraine

The loan will include $1 billion from funds from the International Development Association (IDA), an international non-profit organization dedicated to providing financial assistance to the world’s poorest countries. world, and low-trust developing countries.

RT quoted Mr. Malpass as saying that the package was made upon approval of the International Development Association’s $1 billion aid, as well as IDA’s $100 million grant to neighboring Moldova.

Mr. Malpass explains the support of World Bank is intended to help Ukraine provide vital services, including paying hospital staff, as well as paying pensions and social programs.

“The World Bank was established in 1944 to help Europe rebuild after World War II. As we did then, we will be ready to help Ukraine rebuild when the time comes,” Malpass said.

The plan still needs full approval from the World Bank’s board of directors in the coming weeks, sources told Reuters.

According to Malpass, the World Bank has been in close contact with the Ukrainian authorities to provide assistance and is working to help Ukrainian refugees and their host countries.

According to the World Bank, the military campaign that Russian President Vladimir Putin launch in Ukraine will cut Ukraine’s economy by almost half – 45.1% – this year, while Russia will shrink 11.2%.

The World Bank said in its spring forecast released on April 10 that emerging market and developing economies in Europe and Central Asia are expected to contract a combined 4.1% this year, double the drop due to the outbreak of the COVID-19 pandemic in 2020.

In addition to emerging markets in Europe, the conflict in Ukraine is affecting financial and commodity markets, as well as trade and migration links, adding to concerns about an economic slowdown, according to the World Bank. global economy, rising inflation and growing debt.