Under the Rapid Financing Instrument (IFR) established by the International Monetary Fund (IMF) to mitigate the effects of the Covid-19 pandemic on the economies of member countries, the Bretton Woods institution approved the disbursement about 147 million dollars, (about 88 billion FCFA) for Gabon.
The IMF has approved the disbursement of approximately $ 147 million, or 88 billion FCFA , under the Rapid Financing Instrument (IFR) to allow Gabon to mitigate the effects of the coronavirus.
The Ministry of Economy and Finance announced this Friday, April 10 via its Facebook page that the IMF approved the disbursement of approximately 88 billion CFA francs to allow it to mitigate the effects of the health crisis of the coronavirus on its economy .
This ministerial department assures that this financial support will help to meet the urgent needs for financing the balance of payment of Gabon and to preserve the budgetary margin necessary for health expenditure relating to the fight against the coronavirus.
“With this support from the IMF, we will focus our efforts on priorities that include fighting the spread of covid-19 and mitigating the effects of the virus on our budget balance greatly disrupted by the drop in revenues,” the minister of Economy and Finance, Jean-Marie Ogandaga highlighted.
The IMF’s rapid financing instrument, which can provide rapid financial assistance to all member countries in urgent need of balance of payments financing, was created as part of a broader reform aimed at increasing the flexibility of the institution’s lending system to enable it to meet the diverse needs of member countries. The IMF explains that the IFR offers rapid financial assistance with a low level of access, without the need for a full-fledged program. “This support can cover a wide range of urgent needs, including those caused by commodity price shocks, natural disasters, conflicts, post-conflict situations and frailty emergencies,” says the financial institution.
