MOSCOW (AP) — The International Monetary Fund said yesterday it had reached a tentative agreement with Ukraine on a $16.5 billion loan to help the country out of its growing financial turmoil.

The agreement, however, is contingent on unspecified legislative changes to Ukraine banking laws and approval by the IMF board, the fund said.

"The IMF is moving expeditiously to help Ukraine, and this programme is focused on the essential upfront measures needed to maintain confidence and economic and financial stability," IMF managing director Dominique Strauss-Kahn said.

Ukraine's Finance Ministry and its central bank said the loan would help shore up the country's flagging economic situation: "The support by the fund will promote an accelerated cooperation between Ukraine and other international financial organisations ... strengthen the confidence of private investors and ensure stable operations of the banking system."