(MENAFN) The International Monetary Fund said that its Ukraine mission had reached agreement to release USD1.7 billion in much-needed bailout funds to the Ukrainian government, AFP reported.

The mission has been reviewing the country's reform achievements since the IMF awarded Ukraine a new four-year, USD17.5 billion support program in March and released the first tranche of funds.

The IMF originally conditioned its aid program on the country achieving a deal with private creditors that would reduce its debt payment burden by USD15 billion over the coming four years.

The second fund release will come once an agreed set of actions "are completed and the conditions are in place for staff to assess that public debt is sustainable with high probability and the program is fully financed," the IMF said.