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· The International Monetary Fund approved new emergency aid for 28 countries to tide over the crisis
· Of that, 22 are from Africa. Funds to be received will give these nations to pay back their debts, besides addressing the debilitating impact of the Covid-19 pandemic
· The present disbursement also will be treated as a grant and not as a loan
The International Monetary Fund approved new emergency aid for 28 countries to tide over the crisis. Of that, 22 are from Africa. Funds to be received will give these nations to pay back their debts, besides addressing the debilitating impact of the Covid-19 pandemic.
The IMF, in April, cancelled the debts of 25 of the economically-challenged countries by disbursing funds under the emergency mechanism from the Natural Disaster Response and Assistance Trust Fund, which aggregated to US$500 million. The present disbursement also will be treated as a grant and not as a loan. The total disbursement under this head will amount to US$ 959 million by April 2022. The fund is earmarked for least wealthy in the entire continent, except, perhaps, Rwanda.
In the case of Mali, the IMF may have to await the international community’s approval of the new Malian government before honoring its eligibility. The West African is presently figuring in the category of waiting list to get funds from multilateral donors.
