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The International Monetary Fund (IMF) says its executive board has approved $1.4 billion in emergency financing to support Ukraine amid the ongoing war with Russia.

The Washington-based institution, in a statement, said the executive board gave its approval on Wednesday night.

According to IMF, the support comes from its rapid financing instrument (RFI).

The RFI provides rapid financial assistance available to all IMF member countries facing an urgent balance of payments need.

While expressing its strong support for the Ukrainian people, IMF said the economic consequences of the war are already very serious, with refugee flows of over 2 million persons in just 13 days and large-scale destruction of key infrastructure in Ukraine.

“This disbursement under the RFI, equivalent to 50 percent of Ukraine’s quota in the IMF, will help meet urgent balance of payment needs arising from the impacts of the ongoing war and will provide critical support in the short term while playing a catalytic role for financing from other partners,” the IMF said.

The global lender said Ukrainian authorities had cancelled an existing stand-by lending arrangement with the IMF but would work with the fund to design an appropriate economic program focused on rehabilitation and growth when conditions permit.

Kristalina Georgieva, IMF managing director, said the Russian military invasion of Ukraine has been responsible for a massive humanitarian and economic crisis.

She said the “tragic loss of life, huge refugee flows, and immense destruction of infrastructure and productive capacity is causing severe human suffering and will lead to a deep recession this year.”

“Financing needs are large, urgent, and could rise significantly as the war continues.”

Georgieva said the financial support should help fill the financing gap and mitigate the economic impacts of the war.

“Once the war is over and a proper damage assessment can be performed, additional large support is likely to be needed to support reconstruction efforts,” she added.

The IMF boss also commended the emergency policy response of the Ukrainian authorities, describing it as “remarkable”.

She added that the IMF would remain closely engaged with Ukrainian authorities.

On Monday, the World Bank also approved a $723 million package of loans and grants for Ukraine.