Ukraine Risks Losing IMF Support for Aid If War Escalates

Ukrainian servicemen check documents of a local resident at a checkpoint near Slavyanoserbsk, in the region of Lugansk on Feb. 25, 2015.

Photographer: Oleksandr Ratushnak/AFP via Getty Images
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Ukraine risks losing support from IMF member countries for a proposed $17.5 billion bailout if the conflict in the former Soviet republic continues to escalate, according to two people familiar with the matter.

The new four-year loan program is awaiting approval by the International Monetary Fund’s executive board, which represents the lender’s 188 member nations. Getting the panel’s consent will become more challenging if pro-Russia rebels continue their advance and seize territory such as the strategic port city of Mariupol, one of the people said.