KIEV, June 3 (Reuters) - The International Monetary Fund will assess whether Ukraine has met the latest criteria for its $16.4 billion loan in mid-June before it can release the third tranche, the fund said on its Website late on Wednesday.
It said net foreign reserves at the end of May -- minus IMF and other loans -- should be no lower than $19.7 billion, the monetary base should not exceed 193 billion hryvnias and the budget deficit no higher than 22.5 billion hryvnias (almost $3 billion).
The third tranche amounts to 2.125 billion SDR, or $3.3 billion according to the latest rate. Ukraine has already received $7.3 billion of the 2-year standby arrangement.
The programme stalled earlier this year after the Ukrainian authorities broke several loan conditions, delaying the release of the second tranche to May from February.
The IMF changed some conditions -- allowing for example a 4 percent budget deficit from an original demand of balanced accounts this year.
The central bank has made some exchange rate and monetary policy changes such as bringing the official hryvnia rate closer to the interbank market rate and scrapping a ban on early term deposit withdrawals.
The IMF has also altered some gross domestic product forecasts, which has led to a change in some of its other year-end requirements.
Gross foreign reserves should be no lower than $29.3 billion, against a previous requirement of $30.7 billion and monetary base growth should be no higher than 6.6 percent, against a previous demand of 10.9 percent.
IMF Forecasts '08 '09 '10 GDP (pct) +2.1 -8.0 +1.0 Nominal GDP (bln hryvnias) 950 990 1,118 Budget deficit (pct/GDP) -3.2 -4.0 -1.9 CPI (pct) 22.3 16.0 8.0 Gross FX reserves ($ bln) 31.5 29.3 32.5 Net FX reserves ($ bln) 26.8 14.5 n/a Hryvnia/$ rate 7.7 8.4 n/a C/A ($ bln) -12.9 +0.5 +1.45 Monetary base (pct rise) +31.6 +6.6 +12.2 Monetary base (bln hryvnia) 186.7 198.9 223.2 M3 (pct rise) +30.2 +3.8 +14.0 M3 (bln hryvnias) 515.7 535.1 610.1 ($1=7.6115 hryvnias) (1 SDR = $1.5565) (Editing by Toby Chopra)