The International Monetary Fund on Monday (13th April)announced that it will provide immediate debt service relief to 25 member countries under its Catastrophe Containment and Relief Trust also known as CCRT, to allow these countries, to focus their scarce resources on fighting the coronavirus crisis
However, Sri Lanka is not among the 25 member countries set to receive the debt service relief.
“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,” said IMF Managing Director, Kristalina Georgieva in a press release issued on the 13th of April.
The Fund’s executive board on Monday (13th April), approved the first batch of countries to receive grants to cover their debt service obligations to the Fund for an initial six months.
At present, the CCRT can facilitate up to US$500 million in resources, including new pledges of US$ 185 million from Britain, US$100 million from Japan, and undisclosed amounts from China, the Netherlands and others.
“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 Kristalina Georgieva.
The Fund is planning to raise the amount available to $1.4 billion.
According to the press release, the countries that will receive debt service relief are: Afghanistan, Benin, Burkina Faso, Central African Republic, Chad, Comoros, Congo, D.R., The Gambia, Guinea, Guinea-Bissau, Haiti, Liberia, Madagascar, Malawi, Mali, Mozambique, Nepal, Niger, Rwanda, São Tomé and Príncipe, Sierra Leone, Solomon Islands, Tajikistan, Togo, and Yemen.
(LI)