Managing Director of the International Monetary Fund (IMF), Kristalina Georgieva has said that she would present the IMF’s executive board with a formal proposal for a possible US $650 billion expansion of the Fund’s emergency reserves by June.
She said this in a statement issued here in the wee hours of Wednesday at the conclusion of an informal discussion of the IMF’s Executive Directors on the technical case for a Special Drawing Rights (SDR) general allocation.
She said, “I am very encouraged by initial discussions on a possible SDR allocation of US$650 billion.
By addressing the long-term global need for reserve assets, a new SDR allocation would benefit all our member countries and support the global recovery from the Covid-19 crisis.
It would also be a powerful signal of the IMF membership’s determination to do everything possible to overcome the worst recession since the Great Depression.”