• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Business

IMF agrees to raise its reserves by $7 billion more due to increased credit exposure risks

5 years ago
in Business, highlights, Home, home-news, latest News
1 min read
0 0
0
84
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

The Executive Board of the International Monetary Fund (IMF) has agreed to increase the multilateral institution’s medium-term reserves given the sharp increase in financial risks since 2018.

On Friday, January 8, 2021, the 24 Executive Directors of the IMF agreed to increase the Fund’s Special Drawing Rights (SDR) – the IMF’s own unit of currency – of SDR 20 billion ($29 billion) to SDR 25 billion ($36 billion), representing an increase of SDR 5 billion or $7 billion.

The review of IMF’s SDR reserves – delayed by a few months to permit an assessment of the impact of the Covid-19 pandemic – showed a significant increase in the Fund’s credit exposure and related risks since its last review in 2018, compounded by the pandemic.

“Credit outstanding has nearly doubled, including a surge in emergency financing without conditionality, and commitments under precautionary arrangements are higher than at the last review,” the IMF said in a statement.

IMF also noted that credit had become more concentrated and scheduled repurchases were larger. The current target for precautionary balances of SDR 20 billion ($29 billion) was also likely to drop below the indicative range in 2021 and 2022.

Given these developments, directors agreed to keep the minimum floor for precautionary balances — which include general and special reserves and a special contingent account — at SDR 15 billion ($22 billion) and raise the medium-term target to SDR 25 billion ($36 billion), while continuing to monitor the situation carefully.

Some Executive Directors according to the IMF, pushed for a higher SDR reserves, but most of the Executive Directors were of the view that there was no current need for the Fund to accelerate the pace of reserve accumulation, noting the program design, conditionality, lending policies, and the Fund’s preferred creditor status also help limit the IMF’s risk exposure.

RelatedPosts

FEC 2025: Energy Minister Warns African Gov’ts Cannot Sustain Energy Financing Burden; Urges Stronger Private Sector Role in Continent’s Energy Financing

ACEP Pushes for Bold Financing Models to Tackle Africa’s Energy Poverty at FEC 2025

The Rise of Women-Tailored Insurance Policies in Africa

With files from CNBC

Source: norvanreports
Tags: 24 Executive Directors of the IMFCOVID-19 pandemicIMFincreased credit exposure risksSDR reserves
No Result
View All Result

Highlights

Energy Ministry, NPA Engage Industry on Proposed Petroleum Sector Legislation

President Mahama Targets Billion-dollar Ghana–Singapore Trade in 24-Hour Economy Pitch to Investors

Unpaid Taxes “Very Frightening”, Says Hon. Nana Osei-Adjei

Dollar Slides as Trump Fires Fed Governor Lisa Cook

IISD and IMANI to Host Roundtable Shaping Ghana’s New Independent Fiscal Authority

Premier League: Ngumoha’s Late Goal Seals Liverpool’s Thrilling Win Over Newcastle

Trending

Features

FEC 2025: Energy Minister Warns African Gov’ts Cannot Sustain Energy Financing Burden; Urges Stronger Private Sector Role in Continent’s Energy Financing

August 26, 2025

FEC 2025: Energy Minister Warns African Gov’ts Cannot Sustain Energy Financing Burden; Urges Stronger Private Sector Role...

ACEP Pushes for Bold Financing Models to Tackle Africa’s Energy Poverty at FEC 2025

August 26, 2025

The Rise of Women-Tailored Insurance Policies in Africa

August 26, 2025

Energy Ministry, NPA Engage Industry on Proposed Petroleum Sector Legislation

August 26, 2025

President Mahama Targets Billion-dollar Ghana–Singapore Trade in 24-Hour Economy Pitch to Investors

August 26, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.