IMF to loan Ukraine up to $18bn

The International Monetary Fund says it will loan Ukraine’s fledgling government between $14bn and $18bn.

The new administration is struggling to keep the country’s economy afloat after three months of anti-government protests, and Russia’s takeover of the Crimean peninsula has exacerbated the issue.

After talks in Kiev, the IMF said the precise amount would be determined once Ukrainian authorities offered more precision on their needs and it was clear what other aid the country would receive.

Meanwhile, US politicians are rushing to get a bill to the president’s desk that would provide another $1bn in loan guarantees to Ukraine and sanction those who had a hand in Russia’s takeover of Crimea.

The House and Senate are poised to pass versions of the legislation later today. Both sides say they want to get one bill to president Barack Obama’s desk before the end of the week, but it is unclear whether the work will be finished by then.

The Ukraine aid bill gained momentum this week after Senate Democrats backed down and removed IMF reform language which was stalling the bill’s progress.

With Russian troops massed on Ukraine’s eastern border, Democrats decided it was more important to show support for Ukraine than push now for IMF changes.