The International Monetary Fund has granted debt relief to 25 countries, mostly African nations excluding Nigeria.
A statement by the Managing Director of the IMF, Kristalina Georgieva, said it would provide $500m in grant-based debt service relief to these countries.
“Today, I am pleased to say that our executive board approved immediate debt service relief to 25 of the IMF’s member countries under the IMF’s revamped Catastrophe Containment and Relief Trust as part of the Fund’s response to help address the impact of the COVID-19 pandemic,” she said.
Addressing the need to help businesses and individuals affected by COVID-19, Adrian said the IMF would help to rebuild distressed banks.
He said, “The IMF has deep experience in helping countries rebuild distressed banking systems through its technical assistance programmes, and will stand ready to help.
“The coronavirus pandemic is a different kind of shock. Never before have modern economies shut down at the drop of a hat.
“From one week to the next, many workers lost their jobs and paychecks.
“Restaurants, hotels, and airplanes all emptied. And consumers and businesses now face steep losses in income – and potentially widespread bankruptcies.”
Adrian warned against a change of banking rules during the crisis.
Noting that banks should be given time to meet rules if they fall short, he urged the banks to maintain ongoing operations.
Source: Punchng.com
