The Executive Board of the International Monetary Fund approved a temporary increase in the annual and aggregate limits on loans that member countries can receive from the fund. To help her cope with difficult exceptional circumstances.
The Fund said that the total lending limits increased to 600 percent of each country’s share, that is, its contribution to the fund, from 435 percent previously, indicating an increase in the 12-month lending limit to 200 percent from 145 percent previously. .
The Fund indicated that these changes will allow member countries, especially emerging market and developing countries that are facing increasing financial pressures and shortcomings, to receive additional financial support from the fund.
The Executive Board also discussed possible changes to the lending limits of the Trust Fund for Poverty Reduction and Growth, the Fund’s concessional lending arm for low-income countries.
He said he would revise the Poverty Reduction and Growth Fund’s lending limits as soon as richer member countries pledge sufficient additional lending resources to the fund.