Economics
IMF Rejected Tool for Pandemic Loans With Looser Conditions
- Staff members said pandemic support facility could be useful
- Board said fund can accomplish its goals with existing tools
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The International Monetary Fund recently rejected a proposed new tool that would have offered countries pandemic loans with looser conditions than usual, choosing instead to work within the flexibility of existing programs, according to people familiar with the talks.
The discussion of the Pandemic Support Facility took place in the weeks leading up to the IMF’s annual meetings in mid-October as the Fund was preparing announcements of new initiatives, said the people, who asked not to be named because the talks were private.