IMF Executive Board approves immediate debt service relief to 25 poor countries

In the wake of coronavirus pandemic, International Monetary Fund's (IMF) Executive Board has approved immediate debt service relief to 25 poor countries.

Kristalina Georgieva, Managing Director of IMF, said in a statement: "Today I am pleased to say that our Executive Board approved immediate debt service relief to 25 of the IMF's member countries under the IMF's revamped Catastrophe Containment and Relief Trust (CCRT) as part of the Fund's response to help address the impact of the COVID-19 pandemic."

"This provides grants to our poorest and most vulnerable members to cover their IMF debt obligations for an initial phase over the next six months and will help them channel more of their scarce financial resources towards vital emergency medical and other relief efforts," she said.

The countries that will receive debt service relief today are -- Afghstan, Benin, Burkina Faso, Central African Republic, Chad, Comoros, Congo, The Gambia, Guinea, Guinea-Bissau, Haiti, Liberia, Madagascar, Malawi, Mali, Mozambique, Nepal, Niger, Rwanda, Sao Tome and Principe, Sierra Leone, Solomon Islands, Tajikistan, Togo, and Yemen.

"The CCRT can currently provide about USD 500 million in grant-based debt service relief, including the recent USD 185 million pledge by the UK and USD 100 million provided by Japan as immediately available resources. Others, including China and the Netherlands, are also stepping forward with important contributions. I urge other donors to help us replenish the Trust's resources and boost further our ability to provide additional debt service relief for a full two years to our poorest member countries," said Georgieva.

( With inputs from ANI )