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Ukraine signs 200 mln euro loan agreement with Italy - minister

KYIV, Aug 5 (Reuters) - Ukraine has signed a 200 million euro loan agreement with Italy and the funds will go to the state budget to finance teacher salaries, the Ukrainian finance ministry said on Friday.

The ministry said in a statement that Italy would provide funds for 15 years at a zero interest rate, helping the Ukrainian government maintain financial stability despite a sharp fall in budget revenue amid growing spending caused by more than five months of Russian invasion. (Reporting by Natalia Zinets; Editing by Kirsten Donovan)