{"id":41520,"date":"2020-06-12T20:23:16","date_gmt":"2020-06-12T20:23:16","guid":{"rendered":"https:\/\/new.igihe.com\/imf-executive-board-approves-an-additional-us-111-06-million-disbursement-to\/"},"modified":"2020-06-15T18:04:12","modified_gmt":"2020-06-15T18:04:12","slug":"imf-executive-board-approves-an-additional-us-111-06-million-disbursement-to","status":"publish","type":"post","link":"https:\/\/new.igihe.com\/english\/imf-executive-board-approves-an-additional-us-111-06-million-disbursement-to\/","title":{"rendered":"IMF Executive Board Approves an Additional US$111.06 Million Disbursement to Rwanda to Address the COVID-19 Pandemic"},"content":{"rendered":"

This is the second emergency disbursement since the onset of the pandemic and will help finance the country\u2019s urgent balance of payments (BOP) and budget needs. It follows from the Executive Board\u2019s decision on April 9, 2020 to double the annual access limit under the RCF to 100 percent of quota and brings the total IMF COVID-19 support to Rwanda to $ 220.46 million.<\/p>\n

Rwanda\u2019s economic outlook has worsened since the approval of the first RCF request on April 2, 2020, leading to a further downward revision in the 2020 GDP growth forecast from 5.1 to 2.0 percent due to deepening of the COVID-19 impact. <\/p>\n

The unprecedented spending needs generated by the pandemic, combined with losses of revenues, are putting significant pressures on public finances and compounding the impact of sharp declines of exports and remittances on the balance of payments.<\/p>\n

The additional disbursement under the RCF will provide much needed support for critical COVID-related spending under the government\u2019s Economic Recovery Plan, but further support will be needed from the international community. <\/p>\n

The authorities have committed to transparency and accountability to ensure the appropriate use of emergency financing, building on their strong public financial management framework.<\/p>\n

Following the Executive Board\u2019s discussion, Mr. Tao Zhang, Deputy Managing Director and Acting Chair, issued the following statement:<\/p>\n

\u201cThe COVID-19 pandemic continues to severely impact the Rwandan economy. The global and domestic macroeconomic outlook has further deteriorated. Growth projections have been revised down, and revenue losses and spending needs are more than twice the size estimated at the time of the first RCF request.<\/p>\n

\u201cThe policy measures deployed by the authorities to respond to the pandemic and accelerate economic recovery are appropriate. The additional fiscal spending should help mitigate the impact of the pandemic while ensuring that spending is well-targeted and cost-effective so as not to crowd-out other priority areas. Additional financing from the international community remains critical to ease the adjustment burden. <\/p>\n

The authorities\u2019 commitment to high standards of transparency and accountability in the management of emergency financial assistance is welcome.<\/p>\n

\u201cIt will also be important to maintain data-driven monetary policy and continue to provide liquidity support to cushion the impact of the pandemic as well as step up supervision to safeguard financial stability.<\/p>\n

\u201cOnce the crisis abates, it will be critical to adopt a credible fiscal adjustment path to maintain debt sustainability in the medium-term and preserve Rwanda\u2019s development gains over the last two decades.”<\/p>\n

\"President<\/figure>\n","protected":false},"excerpt":{"rendered":"

The Executive Board of the International Monetary Fund (IMF) today approved the disbursement of $111.06 million (SDR80.1 million) to Rwanda under the Rapid Credit Facility (RCF).<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[72],"byline":[170],"hashtag":[],"class_list":["post-41520","post","type-post","status-publish","format-standard","hentry","category-news","tag-featured-news-home","byline-igihe"],"bylines":[{"id":170,"name":"IGIHE","slug":"igihe","description":"","image":{"id":0,"url":"https:\/\/secure.gravatar.com\/avatar\/?s=96&d=mm&f=y&r=g","alt":"Default avatar","title":"Default avatar","caption":"","mime_type":"image\/jpeg","sizes":[]},"user_id":8}],"contributors":[{"id":170,"name":"IGIHE","slug":"igihe","description":"","image":{"id":0,"url":"https:\/\/secure.gravatar.com\/avatar\/?s=96&d=mm&f=y&r=g","alt":"Default avatar","title":"Default avatar","caption":"","mime_type":"image\/jpeg","sizes":[]},"user_id":8}],"featured_image":null,"_links":{"self":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts\/41520","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/comments?post=41520"}],"version-history":[{"count":0,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts\/41520\/revisions"}],"wp:attachment":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/media?parent=41520"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/categories?post=41520"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/tags?post=41520"},{"taxonomy":"byline","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/byline?post=41520"},{"taxonomy":"hashtag","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/hashtag?post=41520"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}