COVID-19: IMF Executive Board Approves US$3.4bn in Emergency Support to Nigeria
World Bank IMF and Dev Agencies
Tuesday, April 28, 2020 /09:08 PM / by IMF / Header Image Credit: IMF
The Executive Board of the International Monetary Fund (IMF) approved Nigeria's request for emergency financial assistance of SDR 2,454.5 million (US$ 3.4 billion, 100 percent of quota) under the Rapid Financing Instrument (RFI) to meet the urgent balance of payment needs stemming from the outbreak of the COVID-19 pandemic.
The near-term economic impact of COVID-19 is expected to be severe, while already high downside risks have increased. Even before the COVID-19 outbreak, Nigeria's economy was facing headwinds from rising external vulnerabilities and falling per capita GDP levels. The pandemic-along with the sharp fall in oil prices-has magnified the vulnerabilities, leading to a historic decline in growth and large financing needs.
The IMF financial support will help limit the decline in international reserves and provide financing to the budget for targeted and temporary spending increases aimed at containing and mitigating the eco...
https://www.proshareng.com/news/Wor...OVID-19--IMF-Executive-Board-Approves-U/50730
World Bank IMF and Dev Agencies
Tuesday, April 28, 2020 /09:08 PM / by IMF / Header Image Credit: IMF
- The IMF approved US$3.4 billion in emergency financial assistance under the Rapid Financing Instrument to support the authorities' efforts in addressing the severe economic impact of the COVID-19 shock and the sharp fall in oil prices.
- The COVID-19 outbreak has magnified existing vulnerabilities, leading to a historic contraction in real GDP growth and to large external and fiscal financing needs.
- Once the impact of the COVID-19 shock passes, the authorities' commitment to medium-term macroeconomic stability remains crucial to support the recovery and ensure debt remains sustainable.
The Executive Board of the International Monetary Fund (IMF) approved Nigeria's request for emergency financial assistance of SDR 2,454.5 million (US$ 3.4 billion, 100 percent of quota) under the Rapid Financing Instrument (RFI) to meet the urgent balance of payment needs stemming from the outbreak of the COVID-19 pandemic.
The near-term economic impact of COVID-19 is expected to be severe, while already high downside risks have increased. Even before the COVID-19 outbreak, Nigeria's economy was facing headwinds from rising external vulnerabilities and falling per capita GDP levels. The pandemic-along with the sharp fall in oil prices-has magnified the vulnerabilities, leading to a historic decline in growth and large financing needs.
The IMF financial support will help limit the decline in international reserves and provide financing to the budget for targeted and temporary spending increases aimed at containing and mitigating the eco...
https://www.proshareng.com/news/Wor...OVID-19--IMF-Executive-Board-Approves-U/50730
