Abstract

To judge by the number of stand-by arrangements in force, the Fund’s current policy on enlarged access to its resources has done much to remove the inhibitions that members have had about approaching the Fund with requests for stand-by arrangements at an early stage of their difficulties. The present guidelines on enlarged access applied by the Fund permit an annual use of its resources equivalent to 150 per cent of quota and use of up to 450 per cent of quota over a period of three years, apart from transactions under two special policies with light conditionality. A limit of 600 per cent of quota is placed on total outstanding use, apart from use under the same two policies and a third policy not now in effect, and with allowance made for scheduled repurchases (i.e., repayments) in respect of earlier purchases. Even these multiples of quota can be exceeded if the Fund decides that it should meet an even greater need. The effect of the policy has been a major increase in the number of outstanding arrangements and in the total amount of resources committed under them.