OREANDA-NEWS. December 25, 2013. The Government decided that the conditions proposed by the Russian Federation were more advantageous than those of the International Monetary Fund.

The Vice Prime Minister of Ukraine Yuriy Boyko stated on air of the Shuster Live.

According to him, Russia has suggested to Ukraine a loan in USD 15 billion with 5 % interest rate, and the IMF suggested with 4%, but with unfavourable additional terms.

“A condition for allocation an IMF loan was the need to increase our communal tariffs by 40% in the first year and another 40% in the second. Besides – deep devaluation of hryvnya that means just liquidation of the fixed foreign currency rate. The Government decided that the conditions of the Russian loan were more acceptable, as they don’t place any encumbrances on our economy. That’s why it was decided to take this loan for modernization of the economy, raising of social standards and improvement of the budget situation in the country,” Yuriy Boyko said.