Japan to Provide Additional Loan of $300Mln to Ukraine

Japanese ambassador to Ukraine said that Tokyo would provide $300 million in financial aid to Ukraine as a parallel loan with the World Bank.

KIEV, January 20 (Sputnik) — Japan will provide an additional loan of $300 million to Ukraine in 2015, Japanese ambassador to Ukraine Shigeki Sumi said Tuesday at a press conference in Kiev.

“Since March 2014, Japan has promised to provide $1.5 billion in aid to Ukraine, and today, in addition to $1.5 billion, which Japan has already agreed to provide, Japan will provide $300 million in financial aid as a parallel loan with the World Bank,” Sumi said.

Sumi added also that Japan would allocate a $16.6 billion grant to Ukraine.

The internal conflict in Ukraine, which escalated when Kiev launched a military operation against eastern Ukrainian independence supporters, has had a direct impact on the country’s economy.

Ukraine’s authorities are trying to save the country’s war-hit, deteriorating economy with international loans.

In spring 2014, the International Monetary Fund (IMF) promised Kiev a total of $17 billion in bailout loans, to be paid over the course of two years. In addition, several Western countries have allocated funds to Ukraine to help the country rebuild its economy and enact necessary structural reforms.