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IMF doesn't see systemic debt crisis

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Speaking about the IMF's Global Policy Agenda for 2021, Managing Director Kristalina Georgieva urged policymakers to "act fast" towards creating an inclusive global economy. The IMF currently doesn't see a systemic debt crisis, Georgieva concluded, saying that the fund intends to keep it that way.

NEWS IN ENGLISH 08.04.2021, 07:32
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IMF doesn't see systemic debt crisis
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Georgieva explained that the initiative should go through three complementary processes;


- ramping up production and distribution of Covid-19 vaccines, 
- especially funding the Covax facility, backed by the World Health Organization (WHO),
- providing targeted fiscal and policy measures as well as increasing public investments in green projects and digitalization.


The Executive Board of the International Monetary Fund (IMF) approved on Monday, the third tranche of grants for debt service relief for 28 member countries under the Catastrophe Containment and Relief Trust (CCRT). 


This approval follows two prior tranches approved on April 13, 2020, and October 2, 2020, respectively. It enables the disbursement of grants from the CCRT for payment of all eligible debt service falling due to the IMF from its poorest and most vulnerable members from April 14 to October 15, estimated at SDR 168 (US$238) million. 


Managing Director Kristalina Georgieva launched an urgent fundraising effort to raise SDR 1 billion (1.4 billion dollars) in grants for the CCRT in March. This would enable the CCRT to provide financial assistance for relief on debt service for up to a maximum of two years while leaving the CCRT adequately funded for future needs. 
 

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