IMF Expansion (Treasury)
The IMF Expansion
The U.S. provided $100 billion of the $500 billion expansion of the IMF’s lending capacity agreed upon at the G-20 summit in April 2009. Treasury said the IMF needed the funds in order to ensure the IMF had sufficient funds to prevent the spread of financial crises.
| IMF EXPANSION |
|---|
| Balance Sheet |
| Disbursed*: $100B[1] |
| Current outstanding: $100B[2] |
| Public Funds |
| Maximum at-risk: $100B[3] |
| Current at-risk: $100B[4] |
* See the methodology and glossary for definitions of "disbursed," etc.
Contents
Funding agency and aid type
The funding agency is the US Treasury.
Funds to IMF.
Who benefits
Global markets.
Background
SIGTARP: [5]
“Commitments to International Fund — Total Potential Support: $100 Billion. On April 2, 2009, President Obama secured an agreement to increase the International Monetary Fund (“IMF”) New Arrangements to Borrow (“NAB”) by up to $500 billion, of which the United States committed up to $100 billion. According to Treasury, “expanding the NAB will ensure the IMF has adequate resources to play its central role in resolving and preventing the spread of international economic and financial crises. Large and urgent financing needs projected for emerging markets and developing countries cannot be met from pre-crisis IMF lending resources.”
Treasury (via Prins): [6]
“On April 2, at the G-20 Leaders’ Summit in London, President Obama secured agreement to increase the IMF New Arrangements to Borrow (NAB) by up to $500 billion, of which the United States committed up to $100 billion. President Obama is seeking Congressional approval for two actions to strengthen the IMF as part of the FY 2009 supplemental bill currently under consideration – an increase of up to $100 billion for U.S. participation in the NAB, and an increase of about $8 billion in the U.S. quota in the IMF.”
Notes
Congress passed the 2009 supplemental with the $100 billion in funding for the IMF.[7] Treasury describes the NAB as: “a set of credit arrangements that the IMF maintains with 26 countries to obtain supplemental resources temporarily when the IMF's existing resources are substantially drawn down in circumstances that threaten the stability of the international monetary system.”[8]
Articles and resources
Related SourceWatch articles
References
- ↑ IMF survey online, “U.S. Congress Vote Marks Big Step For IMF Reform, Funding,” [1] June 18, 2009, [2] June 18, 2009.
- ↑ IMF survey online, “U.S. Congress Vote Marks Big Step For IMF Reform, Funding,” June 18, 2009, [3] accessed Feb. 21, 2010.
- ↑ IMF survey online, “U.S. Congress Vote Marks Big Step For IMF Reform, Funding,” [4] June 18, 2009, [5] June 18, 2009
- ↑ IMF survey online, “U.S. Congress Vote Marks Big Step For IMF Reform, Funding,” [6]June 18, 2009, [7] June 18, 2009.
- ↑ SIGTARP July 2009 report, p. 155.
- ↑ Via Nomi Prins: U.S. Department of the Treasury, “Fact Sheet: IMF Reforms and New Arrangements to Borrow,” press release: TG-136, May 18, 2009, [8]
- ↑ IMF survey online, “U.S. Congress Vote Marks Big Step For IMF Reform, Funding,” June 18, 2009, [9], accessed Feb. 21, 2010.
- ↑ U.S. Treasury, “Fact Sheet: IMF Reforms and New Arrangements to Borrow,” May 18, 2009 [10], accessed on Mar. 13, 2010.
- ↑ Treasury fact sheet
External resources
External articles
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