(Ecofin Agency) - The International Monetary Fund (IMF) announced on July 13 it has approved the disbursement of $68 million in favor of Chad.
This loan, the second of its kind from the IMF as part of the fight against Covid-19, will help the country meet its urgent budget and balance of payments needs stemming from the global downturn that came with the pandemic. It is granted under the Rapid Credit Facility (RCF), a mechanism set up by the Fund to assist vulnerable countries in the fight against the coronavirus. Disbursement is expected by the end of July 2020.
“Depressed commodity prices, weak external demand, and domestic containment measures are weighing on the outlook, and are causing significant adverse economic and social effects. Economic activity is projected to contract sharply, with fiscal and external financing needs larger than estimated under the RCF approved in mid-April,” the international body said in a statement.
According to Edward Gemayel (pictured) who led the IMF Mission to Chad “the authorities hope that IMF’s financial support will help catalyze the much needed financial support from other development partners.”
Moutiou Adjibi Nourou