Colombia receives $5.4bln loan from IMF to overcome COVID-19 effects

Bogota, Dec 4 (Sputnik) Colombia has received about $5.4 billion from the International Monetary Fund (IMF) Flexible Credit Lines (FCL) to tackle the consequences of the COVID-19 pandemic, the IMF said in its release on Friday.
“Colombia drew yesterday on its Flexible Credit Line (FCL) arrangement with the International Monetary Fund (IMF) in the amount of SDR 3.75 billion (about $5.4 billion, or 183 percent of quota, or about two percent of GDP),” the press release said on Thursday.
According to the document, access to the IMF resources will help attend balance of payments demands and provide support for the budgetary needs due to the coronavirus pandemic.
The IMF said Colombia will use resources available under the credit line for the first time.
On September 25, the IMF approved the Colombian request to extend its access to the FCL from $10.8 billion to $17.3 billion due to the needs that the country met amid the COVID-19 pandemic.
The FCL was founded on March 24, 2009, as part of a reform of the IMF’s lending mechanisms and it allows FCL recipients to resort to the credit lines at any time.


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