By Francis H. Murray
Sierra Leone is among 25 countries to benefit from a much deeneded debt relief announced by the International Monetary Fund this week.
The move is part of the Fund’s ‘‘revamped Catastrophe Containment’’ measures to cushion the economic impact of the global COVID 19 pandemic.
Kristalina Georgieva, Managing Director of the lender, made the announcement in a statement.
“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 (CCRT) as part of the Fund’s response to help address the impact of the COVID-19 pandemic,’’ she said in the statement issued on Monday.
The organization said that the debt relief provided grants to the poorest and most vulnerable members to aid them to cover their debts obligations for an initial phase over the next six months and will help them focus more of their scarce financial resources towards vital emergency medical as well as other relief services.
“The CCRT can currently provide about US$500 million in grant-based debt service relief, including the recent US$185 million pledge by the U.K. and US$100 million provided by Japan as immediately available resources. Others, including China and the Netherlands, are also stepping forward with important contributions,’’ Georgieva noted.
Some of the other countries that will benefit from the gesture include Afghanistan, Benin, Burkina Faso, Central African Republic, Chad, Comoros, Congo, DR Congo, The Gambia, and Guinea.
“I urge other donors to help us replenish the Trust’s resources and boost further our ability to provide additional debt service relief for a full two years to our poorest member countries,” the IMF chief said.
The announcement comes as a relief to Sierra Leone as it scrambles for fund to fight the COVID-19 pandemic and its impact.
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