## IMF Statement on the Stability of the Banking System in Ukraine

_IMF News, December 19, 2016_

## Source details

**Canonical URL:** [IMF Statement on the Stability of the Banking System in Ukraine](https://www.imf.org/en/news/articles/2016/12/19/pr16568-imf-statement-on-the-stability-of-the-banking-system-in-ukraine)

## Other formats

- [Markdown version](/en/news/articles/2016/12/19/pr16568-imf-statement-on-the-stability-of-the-banking-system-in-ukraine/index.md)
- [Structured JSON version](/en/news/articles/2016/12/19/pr16568-imf-statement-on-the-stability-of-the-banking-system-in-ukraine/index.json)
- [Bundle manifest](/en/news/articles/2016/12/19/pr16568-imf-statement-on-the-stability-of-the-banking-system-in-ukraine/bundle-manifest.json)

## Bibliographic details
- Published: December 19, 2016

---

### Context and action
- Press Release No. 16/568
- Date: December 19, 2016
- Issued by: IMF Communications Department, MEDIA RELATIONS
- Press officer: Wiktor Krzyzanowski
  - Phone: +1 202 623-7100
  - Email: MEDIA@IMF.org

### Summary of the IMF position
- The IMF welcomes the Ukrainian authorities’ decision to nationalize PrivatBank as an important step to safeguard financial stability.
- The decision was taken to ensure the smooth operations of the bank given:
  - its systemic role in Ukraine’s financial system, and
  - insufficient efforts to strengthen its capital adequacy in recent months.

### Key findings and priorities outlined by Ms. Christine Lagarde, Managing Director of the IMF
- Ensuring that all banks operating in Ukraine meet capital and regulatory requirements is essential to:
  - maintain public confidence in the banking system, and
  - reinforce the banks’ ability to support productive activities necessary for the prosperity of the Ukrainian people.
- Following nationalization, priorities include:
  - firm efforts to maximize the repayment of related-party loans, and
  - appointment of an independent management team to restore the bank’s viability.
- These actions should aim to minimize the cost to the state and taxpayers in line with:
  - existing legislation, and
  - international best practice.

### IMF support and broader objectives
- The IMF will continue to support Ukraine in efforts to:
  - build strong institutions,
  - enhance transparency, and
  - advance structural reforms which are critical to achieve strong and sustainable economic growth.

*Source: IMF Statement on the Stability of the Banking System in Ukraine (Press Release No. 16/568, December 19, 2016).*

---

## Content in this bundle

- [Pr16568 (PDF)](/external/lang/ukrainian/np/sec/pr/2016/pr16568.pdf){rel="external" type="application/pdf"}

---

## References

- [Ukraine and the IMF](http://www.imf.org/external/country/UKR/index.htm)
- [Press Releases](https://www.imf.org/en/news/searchnews)
- [PRESS CENTER](http://presscenter.imf.org/)
- [https://www.imf.org/en/home](https://www.imf.org/en/home)

_Source: https://www.imf.org/en/news/articles/2016/12/19/pr16568-imf-statement-on-the-stability-of-the-banking-system-in-ukraine_