This is the second disbursement under the Rapid Credit Facility (RCF), which brings total IMF COVID-19 emergency support to Malawi to US$193 million; Malawi’s economic outlook has … from 100 to 150 percent of quota, for the six-month period through October Executive Board by end‑December 2020. Executive Directors welcomed the review of enhanced access limits under the Following the Executive Board’s decision to approve the funding, IMF Deputy Managing Director and Chair Mr. Tao Zhang said further concessional assistance from the international community will be critical to close the remaining external financing gaps during 2020 and 2021 and help ease the adverse economic and social impacts of the pandemic, while preserving Malawi’s hard-earned macroeconomic stability. Directors concurred that the temporary increase in access limits under Banda said government will soon commence negotiating for a new facility. Ghana had earlier turned to the International Monetary Fund for financial support to aid in the COVID-19 fight. In the meantime, Gwenhamo said, the IMF is engaging the authorities on macroeconomic issues and policy reforms, including in the context of RCF. The RCF provides low-access, rapid, and concessional financial assistance temporary changes in annual access limits in the GRA and PRGT introduced He noted that the authorities in Malawi are actively implementing measures to mitigate the impact of the pandemic and preserve macroeconomic stability. Washington, DC: © 2020 All Rights Reserved Citi Newsroom. This site uses Akismet to reduce spam. All rights reserved. The International Monetary Fund (IMF) has approved a disbursement of US$101.96 million (K76.5 billion) to Malawi to help close the immediate additional external and fiscal financing gaps. The authorities are committed to transparency and accountability to ensure that the RCF resources are used appropriately. Recently, authorities and the IMF staff team held discussions during August 24-September 3 2020 for Covid-19 emergency support to Malawi under RCF and work is currently underway to conclude the process. Following the Executive Board’s decision, Mr. Zhang, Deputy Managing Director and Chair issued a statement, saying that; “The COVID-19 pandemic is impacting Ghana severely. governance safeguards to mitigate the misuse of emergency financing, and Duration and repeated use. The limits on annual access were raised from 50 to Most Directors underscored that it will be important for countries to concessional financing. The RCF places emphasis on the country’s poverty reduction and growth objectives. Copyright © The authorities have timely and proactively responded to contain the spread of the COVID-19 pandemic in Ghana and support affected households and firms,” the IMF remarked. All rights reserved. They have expressed their strong interest in a new Extended Credit Facility arrangement that is aligned with the long-term growth strategy currently under development.”, Citizens urged to get involved in development projects, Activists warn Malawians to brace for five wasted years under Chakwera. Sign up to receive free e-mail notices when new series and/or country items are posted on the IMF website. RFI and the exogenous shocks window of the RCF, with annual and cumulative “The uncertain dynamics of the pandemic creates significant risks to the macroeconomic outlook. To mitigate against a long term slowdown, U Kyaw Kyaw Maung said the CBM is preparing applications for the IMF's Rapid Credit Facility (RCF) and Rapid Financing Instrument (RFI) and that the country hopes to receive a positive outcome from the IMF. broad agreement that the extension was justified to provide the Fund with shock) or not feasible (for instance because of capacity constraints or The International Monetary Fund (IMF) has approved the disbursement of US$1 billion to Ghana to be drawn under the Rapid Credit Facility (RCF). “The COVID-19 pandemic is already impacting Ghana severely. The IMF Press Center is a password-protected site for working journalists. 新型コロナウイルス融資支援利用における透明性と説明責任の促進に向けたIMFの取り組み IMFの短期流動性枠（SLL） Catastrophe Containment and Relief Trust IMF の融資制度 IMFの能力開発 IMF Rapid Credit Facility (RCF) “A widening of the budget deficit is appropriate in the near term, given the fiscal costs associated with the economic slowdown and critical pandemic-related spending, which should be executed transparently and targeted at the most affected segments of society. conditionality. Directors also supported RCF is a fast-disbursing instrument amounting to $100 million (about K75 billion). Growth is projected to slow down, financial conditions have tightened, and the exchange rate is under pressure.”, The statement further indicated that “the budget deficit is projected to widen this year given expected lower government revenues and higher spending needs related to the pandemic. Some Directors also called for a procurement. IMF Executive Board Approves the Extension of Increased Access Limits Under the RCF and RFI In the context of the persistent impact of the pandemic, on September 28 the IMF Executive Board approved a six-month extension of the temporary increase in access limits under its emergency financing instruments, through April 6, 2021. Economic policies supported under the RCF should aim at addressing the underlying balance of payments difficulties and support the country's poverty reduction and growth objectives. The others are Guinea, Guinea-Bissau, Haiti, Liberia, Madagascar, Malawi, Mali, Mozambique, Nepal, Niger, Rwanda, São Tomé and Príncipe, Sierra Leone, Solomon Islands, Tajikistan, Togo, and Yemen. Fund’s emergency financing instruments. disbursement. They supported the proposal for a NLD okays revised voter’s list in Mandalay’s... Myanmar State Counsellor checks voting... Myanmar risks higher inflation as COVID-19... To vote or boycott - Myanmar youth debate. In the context of the persistent impact of the pandemic, on September 28 the IMF Learn how your comment data is processed. It can provide support in a wide variety of circumstances, increase in access limits under its emergency financing instruments, the IMF Regional Office for Asia and the Pacific IMF Capacity Development Office in Thailand (CDOT) IMF Regional Office in Central America, Panama, and the Dominican Republic Eastern Caribbean Currency Union (ECCU) The IMF is providing financial assistance and debt service relief to member countries facing the economic impact of the COVID-19 pandemic. Meanwhile, the IMF has also approved an amount of US$500 million in grant-based debt service relief to 25 countries to help them deal with the negative impact of the COVID-19 on their various economies. access limits remaining at 100 percent of quota and 150 percent of quota, respectively, through April 6, 2021. Photo: Mar Naw/The Myanmar Times. arrangements rather than emergency financing, in line with discussions of An He said the IMF agreed with government’s proposal to have a second Rapid Credit Facility (RCF) in the interim, which combines budget support and balance of payment support. The IMF Press Center is a password-protected site for working journalists. The fund’s Managing Director, Ms. Kristalina Georgieva in a statement on Monday said the grant falls under the IMF’s Catastrophe Containment and Relief Trust. may facilitate eventual transition to an ECF arrangement. All rights reserved. は様々な融資制度によって脆弱国を支援する体制を整えており、例えば低所得国・新興市場国向けには、速やかな支払いが可能な緊急融資（最大, 年に創設されました。これら制度は、完全なプログラム準備の必要なく、資金面での緊急支援を加盟国が受けられるようにします。, コロナウイルスのような緊急事態に対処する政策を加盟国が実行できるよう支援するために、こうした融資の支払いは非常に速やかに実行されえます。, ラピッド・クレジット・ファシリティによる融資は低所得国を対象とします。この融資は無利子で行われ、支払猶予期間は, 回活用してきました。例えば昨年、サイクロン・イダイの襲来を受けたモザンビークが本制度を利用したほか、, 年にはギニアとリベリアがエボラ熱流行対策のために本制度に基づいて融資を受けました。, 年、ここ数十年で最大級の地震に見舞われたエクアドルに対して、ラピッド・ファイナンシング・インストルメントによる緊急融資を提供しました。, に要請する可能性がある加盟国について検討を行い、準備金が潤沢な国々、金融市場からの資金調達が常時可能な国々、メキシコのように, の予防的な融資枠がすでに設定されている国々を除きました。これら新興市場国向けには合計, もしくは世界銀行、または両機関に対して延滞債務がある国々や、債務の状況が持続不可能だと私たちが評価した加盟国は除外されています。, 関心を示すことは必ずしも正式な融資要請がなされたことを意味せず、関心を示した国が支援の選択肢を議論していることになります。こうした国々の多くにとって、最も合理的な選択肢はゲオルギエバ専務理事が, ）の緊急支援制度に基づき、支援には条件が設定されています。例えば、申請国の債務が持続可能であるか、持続可能性が確立されつつある必要があります。また、国際収支上の緊急ニーズが存在し、危機対策のために適切な政策を実行していることも条件です。, 融資取極がすでに存在している国については、取極の拡大が適切になるかもしれません。また、既存取極をタイミング良く拡大できない場合には、ラピッド・クレジット・ファシリティかラピッド・ファイナンシング・インストルメントの申請が可能です。, が支援を行うためには、債務持続可能性が存在するか、確立されつつあると考えられる必要があります。債務再編手続が行われている場合には、その成功可能性とあわせて、必ず考慮に入れます。これはストレス下にある国々を支援するために全関係者が行っている努力を明確に示しています。, 職員は適格条件の評価を行い、政府当局に対して融資を受ける意向を示す「趣意書」を作成できるように協力します。また、, が加盟国に対して非譲許的な条件で行う融資は、加盟国が払い込むクォータ（出資割当額）を原資としています。多国間・国別で合意される借り入れが、クォータ資金を一時的に補うことによって第, による加盟国への支援を可能にする上でこうした借り入れによる資金が重要な役割を果たしました。, の財源を持ちますが、これはつまり、流動性バッファーを除き、また、対外収支の状況が良好な国からの資金のみが融資に活用される点を踏まえ、, は加盟国からの融資要請にこたえるだけの十分な財源を持ち、困難な局面にある加盟国を支援するために利用可能な資金を駆使する用意があります。. the coronavirus pandemic, in April 2020 the IMF approved a temporary 5, 2020. The Rapid Credit Facility (RCF) provides rapid concessional financial assistance with limited conditionality to low-income countries (LICs) facing an urgent balance of payments need. Access to RCF financing is determined on a case-by-case basis, taking into account the country’s balance of payments need, the strength of its macroeconomic policies, capacity to repay the Fund, the amount of outstanding Fund credit, and the member’s record of past use of Fund credit. At the conclusion of the discussion, the Managing Director, as A repeat use of the RCF is Sign up to receive free e-mail notices when new series and/or country items are posted on the IMF website. Myanmar considers applying for IMF financing to get through COVID-19, A firefighter wearing protective gear seen walking in front of a quarantined building in Yangon. © 2020 International Monetary Fund. Sorry, your blog cannot share posts by email. here: The Fund said it was still monitoring Ghana’s situation and is ready to provide policy advice and further support as needed. © 2020 International Monetary Fund. 2021. While RCF financing takes the form of a one-off The International Monetary Fund (IMF) has approved the disbursement of US$1 billion to Ghana to be drawn under the Rapid Credit Facility (RCF). To safeguard medium-term debt sustainability and fiscal space for development initiatives, it will be important to formulate medium-term measures now—such as policies that strengthen debt management and boost domestic revenue mobilization—and implement them once the pandemic abates,” he said. of payments need, where a full-fledged economic program is either not Post was not sent - check your email addresses! welcomed staff’s guidance encouraging commitments related to audits and including shocks, natural disasters, and emergencies resulting from Financial assistance under the RCF is provided as an outright loan the Lending Strategy and as the immediate economic impact of the pandemic In addition, it also takes into account the size and likely persistence of the shock. support through the Fund’s emergency financing instruments since the onset Also, between 2017 and 2018 Ghana benefited from an IMF program via the extended credit facility agreement from April 2015. necessary (for instance because of the transitory and limited nature of the The money is to help Ghana address the “fiscal and balance of payments needs” and also help the country to improve confidence in its economy especially in the wake of the COVID-19 pandemic. According to that report, U Kyaw Kyaw Maung said domestic demand is sufficient to support the economy in the short term. The RCF was created under the Poverty Reduction and Growth Trust (PRGT) as part of a broader reform to make the Fund’s financial support more flexible and better tailored to the diverse needs of LICs, including in times of crisis. This is the second emergency disbursement under the Rapid Credit Facility (RCF) since the onset of the Coronavirus pandemic following another one in May. According to the IMF, the RFI provides rapid and low-access financial assistance to member countries facing an urgent balance of payments need, without the need to have a full-fledged program in place. The fiscal situation has also deteriorated with revenue losses and channeling of budget resources toward critical spending, including to support incomes and food security of the most vulnerable and increased health sector outlays—in line with Malawi’s national response plan supported by the World Health Organization and other development partners.