Buzz Update The IMF Managing Director welcomed the creation of the Resilience and Sustainability Trust to assist TOU

Buzz Update The IMF Managing Director welcomed the creation of the Resilience and Sustainability Trust to assist

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The IMF Managing Director welcomed the creation of the Resilience and Sustainability Trust to assist

IMF Managing Director, Welcoming the creation of the Resilience and Sustainability Trust to help vulnerable countries tackle long-term challenges

April 13, 2022

Washington DC:
International Monetary Fund (IMF) Managing Director Ms. Kristalina Giorgio made the following statement today:

“I am pleased to announce that the IMF Executive Board has approved the establishment of a new Resistance and Sustainability Trust (RST) with effect from May 1, 2022. The aim of the trust is to help low-income and weak middle-income countries. Address long-term structural challenges that cause macroeconomic losses, including climate change and the pandemic.

As the world continues to experience global shocks, we must not miss the critical steps needed today to ensure long-term resilience and stability — and we can only succeed if we work together.

The RST will increase the impact of the US $ 650 billion SDR allocation implemented last year by providing resources to countries with higher needs from financially strong members. The aspiration is to build a trust of at least US $ 45 billion in resources.

The RST serves as the third pillar in the IMF’s Lending Toolkit, along with the General Resources Account and the Poverty Reduction and Growth Trust. The RST policy provides support and affordable long-term maturity financing – with a 20-year maturity and a 10½-year grace period – helping to build resilience against long-term risks to payment stability. One-third of the IMF’s national membership is eligible for RST financing, which includes low-income members as well as most middle-income countries and all small developing states.

We have worked extensively with our members and other stakeholders to formulate the RST with the aim of balancing the needs of potential collaborators and borrowers. The reforms supported by the trust are intended to catalyze increased financing from the private sector, donors and other international financial institutions (IFIs). Close cooperation with the World Bank and other IFIs is key to RST success.

Our membership urges us to improve our current debt toolkit to address the growing need now to build resilience and stability to minimize future financial losses. Today, our membership came together and responded.

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                    <h5>IMF Communications Division</h5>
Media relations

Press Officer: Wafa Amar

Phone: +1 202 623-7100Email: [email protected]

IMF Representative

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