IMF Financial Operations 2018 provides a broad introduction to how the IMF fulfills its mission through its financial activities. It covers the financial structure and operations of the IMF and provides background detail on the financial statements. It reviews the IMF's three main activities: lending, surveillance, and technical assistance.

Appendix 1

IMF Membership: Quotas and Allocations of SDRs1

(Millions of SDRs and percent as of December 31, 2017)

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Source: Finance Department, International Monetary Fund.

For the latest SDR holdings, see www.imf.org/external/np/fin/tad/extsdr1.aspx.

Including China, Hong Kong SAR, and Macao SAR.

Excluding SDRs allocated and placed in an escrow account under the Fourth Amendment of the IMF’s Articles of Agreement; such holdings will be available to the member upon settlement of all overdue obligations to the IMF.

Appendix 2

Special Voting Majorities for Selected Financial Decisions

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Source: Legal Department, International Monetary Fund.

Proportion of total voting power.

Majority of Governors having 85 percent of voting power.

Three-fifths of the members having 85 percent of the voting power.

Appendix 3

Administered Accounts

The IMF may establish administered accounts for such purposes as financial and technical assistance. Such accounts are legally and financially separate from all other accounts of the IMF.1

The role of the IMF as trustee has proved particularly useful in enabling the creation of mechanisms to:

  • Reduce the cost of access for low-income developing member countries to the facilities of the General Resources Account, as in the case of the Oil Facility Subsidy Account (1975–83) and the Supplementary Financing Facility Subsidy Account.

  • Provide balance of payments assistance on concessional terms, as in the case of the Trust Fund (1976–81), the Poverty Reduction and Growth Facility (PRGF) Trust (renamed the Poverty Reduction Trust (PRGT) in 2009) (1987–), and several accounts administered by the IMF on behalf of individual members to provide contributions to the PRGF Subsidy Account.

  • Provide financing in the form of debt relief to heavily indebted poor countries, as in the case of the Poverty Reduction and Growth Facility-Heavily Indebted Poor Countries Trust.

From time to time, the IMF also has decided to establish, on an ad hoc basis and as requested by members, accounts for the administration of resources for specific purposes. These are described below.

Administered Account Japan

The account was established in March 1989 to administer resources made available by Japan—and, under a subsequent amendment, by other countries with Japan’s concurrence—that are to be used to assist certain members with overdue obligations to the IMF. The resources of the account are to be disbursed in amounts specified by Japan and to members designated by Japan. Effective March 5, 2008, the instrument governing the account was amended to allow the provision of assistance to these members in the context of an internationally agreed comprehensive package that integrates arrears clearance and subsequent debt relief.

Framework Administered Account for Technical Assistance Activities

The Framework Administered Account for Technical Assistance Activities (the Framework Account) was established in April 1995 to receive and administer contributed resources that are to be used to finance technical assistance activities of the IMF. During the financial year that ended April 30, 2015, the account was terminated. The account is in the process of liquidation and any funds remaining in the account shall either be refunded to the contributors or, at their request, transferred to the Framework Administered Account for Selected Fund Activities.

Framework Administered Account for Selected Fund Activities

The Framework Administered Account for Selected Fund Activities (the SFA Framework Account) was established in March 2009 to administer externally contributed resources that are to be used to finance selected IMF activities, including the full range of IMF technical assistance activities and activities in support of technical assistance provided directly to recipients. The financing of selected IMF activities is implemented through the establishment and operation of subaccounts within the SFA Framework Account. As of April 30, 2017, there were 46 subaccounts. The establishment of a subaccount requires the approval of the Executive Board. Disbursements are made from the respective sub-accounts under the SFA Framework Account to the General Resources Account (GRA) to reimburse the IMF for the costs incurred in connection with activities financed by resources from the SFA Framework Account. Resources are to be used in accordance with terms and conditions established by the IMF, with the concurrence of contributors. Resources in SFA subaccounts may be transferred to other SFA subaccounts if the terms and conditions of the subaccounts so provide.

Administered Account for Interim Holdings of Voluntary Contributions for Fund Activities

The Administered Account for Interim Holdings of Voluntary Contributions for Fund Activities was established in April 2010 to receive and hold externally contributed resources for an interim period until such time as they can be transferred to other Trusts or accounts administered by the IMF. The resources deposited into the Holdings Account ultimately fund activities for which understandings or modalities to use the resources have yet to be finalized but for which the contributors need to disburse under their own budgetary cycles.

Administered Account—Switzerland

The account was established in February 2017 to facilitate the settlement of payments under the bilateral financing agreement between the Swiss National Bank and the National Bank of Ukraine.

Supplementary Financing Facility Subsidy Account

The account was established in December 1980 to assist low-income member countries to meet the costs of using resources made available through the IMF’s Supplementary Financing Facility and under the policy on exceptional access. All repurchases under these policies were due on or before January 31, 1991, and the final subsidy payments were approved in July 1991. However, one member (Sudan), overdue in the payment of charges to the IMF at December 31, 2017, remains eligible to receive previously approved subsidy payments of SDR 0.9 million when its overdue charges are settled. Accordingly, the account remains in operation and has retained amounts for payment to Sudan until after the overdue charges are paid.

Post-SCA-2 Administered Account

The account was established in December 1999 for the temporary administration of resources transferred by members following the termination of the second Special Contingent Account (SCA-2) in the General Department of the IMF, prior to the final disposition of those resources in accordance with members’ instructions.

SCA-1/Deferred Charges Administered Account

The account was established in March 2008 as an interim vehicle to hold and administer members’ refunds resulting from the distribution of certain Special Contingent Account (SCA-1) balances and from the payment of deferred charges adjustments that had been made in respect of overdue charges attributed to Liberia. Following Liberia’s arrears clearance, members were given the option to temporarily deposit their refunds into this account pending their decisions as to the final disposition of those resources. The account was scheduled to be terminated March 13, 2018, but was extended at the request of the remaining contributors.

Administered Account People’s Bank of China

The account was established in June 2012 to administer and invest resources provided by the People’s Bank of China to support the IMF’s technical assistance and training programs. The account will be terminated upon completion of operations, or at such earlier time by the IMF in consultation with the People’s Bank of China. Once the obligation to repay the outstanding loan has been discharged and the final payment of interest has been made, any surplus remaining in the account will be transferred to the People’s Bank of China.

Interim Administered Account for Windfall Gold Sales Profits

The account was established in October 2012 to temporarily hold and administer contributions representing all or a portion of members’ shares of the partial distribution (SDR 0.7 billion) of amounts in the IMF’s General Reserve attributable to windfall gold sales profits. Members were given the option to temporarily deposit the proceeds from the distribution into this account pending their decision as the final disposition of these resources. The account was scheduled to be terminated October 17, 2017, but was extended at the request of the remaining contributors.

Interim Administered Account for Remaining Windfall Gold Sales Profits

The account was established in October 2013 to temporarily hold and administer contributions representing all or a portion of members’ shares of the final distribution (SDR 1.75 million) of amounts in the IMF’s General Reserve attributable to windfall gold sales profits. Members were given the option to temporarily deposit the proceeds from the distribution into this account pending their decision as to the final disposition of these resources. The account is scheduled to be terminated October 9, 2018.

Post-EPCA/ENDA Interim Administered Account

The account was established on January 29, 2014 to temporarily hold and administer resources transferred by members in the context of the termination of the Post-Conflict and Natural Disaster Emergency Assistance Subsidy Account. The account was terminated January 29, 2017, and liquidated May 1, 2017.

Post-MDRI-II Interim Administered Account

The account was established in June 2015 to temporarily hold and administer resources transferred by members in the context of the termination of the Multilateral Debt Relief Initiative-II Trust (MDRI-II), prior to the final disposition of those resources in accordance with members’ instructions. The account was liquidated upon completion of all transfers on February 1, 2017.

Appendix 4

Disclosure of Financial Position with the IMF in the Balance Sheet of a Member’s Central Bank

This appendix elaborates on the final section of Chapter 2 in the text, “Disclosure of Financial Position with the IMF by the Member Countries.”1 The accounting treatment of IMF transactions should reflect the member’s legal and institutional arrangements and the substance of the transactions, as well as be compliant with the relevant financial reporting standards. The following four examples illustrate the gross and net methods for reporting IMF-related assets and liabilities in the balance sheet of a central bank.

In the examples below, all figures represent local currency units.

  • I. The basic underlying assumptions for Examples 1 and 2 are the following:

    • (a) On the balance sheet date, the member has a quota equal to 2 million in local currency and an SDR allocation of 1 million.

    • (b) The reserve asset portion of the subscription (25 percent of the quota) has been paid in SDRs. Hence, the central bank’s SDR holdings, originally equal to 1 million in local currency, are lower by 500,000 on the balance sheet date.

    • (c) The member has elected to pay 99 percent of the local currency subscription (75 percent of its quota) in the form of nonnegotiable, non-interest-bearing securities. Of the remaining 1 percent (15,000), 9⁄10 has been paid into the IMF No. 1 Account and 1⁄10 is maintained in the No. 2 Account.

  • II. Additional assumptions for Examples 3 and 4 are the following:

    • (a) The member has drawn its reserve tranche position of 500,000 in local currency.

    • (b) The member has received IMF resources (used IMF credit) equal to 4.5 million, for which securities have been issued.2

Reporting IMF-Related Assets and Liabilities: Example 1—Gross Method

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Reporting IMF-Related Assets and Liabilities: Example 2—Net Method

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Reporting IMF-Related Assets and Liabilities: Example 3—Gross Method

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Includes 4,500,000 in local currency stemming from the use of IMF credit and 500,000 from the drawing of the reserve tranche.

Reporting IMF-Related Assets and Liabilities: Example 4—Net Method

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This balance includes 4,500,000 from the use of IMF credit and 500,000 from the drawing of the reserve tranche. Since the reserve tranche was part of foreign reserves, the drawing changes the composition of foreign reserves but not the total balance.


This glossary covers basic operational and financial terms as used in the International Monetary Fund.


Access Policy and Access Limits. The IMF has established policies that govern the use of its resources by members and provide guidance to member countries about the amount that can normally be borrowed from the IMF. A member country’s access limits are set as percentages of the member’s quota and vary with the facility being used; the limits are reviewed periodically. The policy governing access by members to IMF financial resources has changed over time to reflect members’ changing financing needs balanced against the need to safeguard the revolving nature of the institution’s resources and liquidity needs.

Accounting Unit. The IMF’s unit of account is the Special Drawing Right (SDR). Members’ currencies are valued by the IMF in terms of the SDR on the basis of their representative rates of exchange, normally against the US dollar at spot market rates.

Accounts and Departments. The IMF operates its financial functions through the General Department, the SDR Department, and the Administered Accounts, which are accounting constructs and not organizational units. The financial functions of the IMF are discharged by the Finance Department, which is an organizational unit of the staff.

Accounts of the IMF in Member Countries. The IMF’s currency holdings are held in accounts of the IMF in designated depositories in member countries. These accounts are the No. 1 and No. 2 Accounts and the Securities Account. The No. 1 Account is used for quota subscription payments, purchases and repurchases, repayment of borrowing, and sales of the member’s currency. All these transactions may also be carried out through the Securities Account, which may be established by the member to hold nonnegotiable, non-interest-bearing notes, or similar obligations, payable to the IMF on demand. These notes or similar obligations are issued by the member as a substitute for the currency holdings of the IMF. The No. 2 Account is used for the IMF’s administrative expenditures and receipts in the member’s currency and within its territory.

Administered Accounts. Accounts are established to perform financial and technical services that are consistent with the purposes of the IMF, including the administration of resources contributed by individual members to provide assistance to other members. All transactions involving the Administered Accounts are separate from those of the IMF’s other accounts (see Appendix 3).

Advance Repurchase. A repurchase (repayment) before the scheduled value date made at the discretion of the member. A member is free to make advance repurchases at any time. The member can elect to apply the advance repurchase(s) to any scheduled repurchase.

Amendments (to the Articles of Agreement). The Articles of Agreement have been amended seven times. The First Amendment (July 1969) introduced the Special Drawing Right (SDR). The Second Amendment (April 1978) reflected the change from the par value system based on a fixed price for gold to an international monetary system based on floating exchange rates. The Third Amendment (November 1992) allowed for suspension of the voting and certain related rights of a member that fails to fulfill any of its obligations under the Articles (other than obligations with respect to SDRs). The Fourth Amendment allowed for a special one-time allocation of SDRs and was adopted by the Board of Governors in August 2009. The Fifth Amendment (February 2011) expanded the investment authority of the IMF. The Sixth Amendment (March 2011) was part of the package of quota and voice reforms adopted in 2008 and provided for an increase in basic votes and an additional alternate Executive Director for the largest constituencies. The Seventh Amendment (January 2016) allows for an all-elected Board. It was part of a package of quota and governance reforms adopted in 2010 and became effective when it was accepted by three-fifths of membership having 85 percent of the total voting power.

Arrears. A stock of outstanding debt, either domestic or external, resulting from payments not made to the IMF when due.

Articles of Agreement. An international treaty that sets out the purposes, principles, and financial structure of the IMF. The Articles were drafted in July 1944 by representatives of 45 nations at a conference held in Bretton Woods, New Hampshire, and entered into force in December 1945.

Article IV Consultations. A regular, usually annual, comprehensive discussion is held between the IMF staff and representatives of individual member countries concerning the member’s economic and financial policies. The basis for these discussions is in Article IV of the IMF Articles of Agreement (as amended, effective 1978), which directs the IMF to exercise firm surveillance over each member’s exchange rate policies.


Basic Rate of Charge. A single interest charge is applied to outstanding IMF credit financed from the IMF’s general resources. The basic rate of charge is a key element of the IMF’s financial operations. It is composed of the SDR interest rate, and a margin to cover the cost of IMF financing to members as well as to help accumulate reserves.

Burden Sharing. The burden-sharing policy seeks to ensure that the IMF’s cash flow from its lending operations is not negatively affected by members’ failure to settle financial obligations to the IMF. Since its establishment in 1986, the burden-sharing mechanism has generated resources to compensate the IMF for the loss of income resulting from of unpaid charges due from members in arrears, and has helped generate precautionary balances against possible credit default. Under burden sharing, temporary financing in equal amounts is obtained from debtor and creditor members by increasing the rate of charge and reducing the rate of remuneration, respectively, to (1) cover shortfalls in the IMF’s regular income from unpaid charges (“deferred charges”) and (2) accumulate precautionary balances against possible credit default in a contingent account, the Special Contingent Account (SCA-1).


Catastrophe Containment and Relief (CCR) Trust. Established in 2015, the CCR Trust allows the IMF to provide grants for debt relief for the poorest and most vulnerable countries hit by catastrophic natural disasters such as massive earthquakes, or for public health disasters including life-threatening, fast-spreading epidemics with international spillover potential. The relief on debt service payments frees up additional resources to meet exceptional balance of payments needs created by the disaster, and for containment and recovery efforts. The CCR Trust supersedes the Post Catastrophe Debt Relief Trust (PCDR), which was set up in 2010 in response to the earthquake that devastated Haiti and is intended to broaden the situations covered by IMF disaster assistance to include public health disasters.

Charges, Periodic. Charges (interest) are payable by a member on its outstanding use of IMF credit. Charges are normally levied quarterly.

Commitment Fee. Commitment fees are levied at the beginning of each 12-month period of an arrangement on the amounts available for purchase during that period. As disbursements are made, the commitment fees paid are refunded based on the size of the disbursement relative to the amount available for purchase in the period.

Conditionality. Economic policies that members intend to follow as a condition for the use of IMF resources. These are often expressed as performance criteria (for example, monetary and budgetary targets) or benchmarks and are intended to ensure that the use of IMF credit is temporary and consistent with the adjustment program designed to correct a member’s external payments imbalance.


Debt Relief. Agreements by creditors to lessen the debt burden of debtor countries by either rescheduling interest and principal payments falling due over a specified time period, sometimes on a concessional basis, or by partially or fully canceling debt-service payments falling due during a specified period.

Depository and Fiscal Agency. The IMF conducts its financial dealings with a member through the fiscal agency and the depository designated by the member. The fiscal agency may be the member’s treasury (ministry of finance), central bank, official monetary agency, stabilization fund, or similar agency. The depository maintains the accounts of the IMF with the member’s currency and also holds on behalf of the IMF for safe custody nonnegotiable, non-interest-bearing notes, or similar instruments, issued by the member in substitution for part of the IMF’s currency holdings.

Designation Plan. A list of participants in the SDR Department whose balance of payments and reserve positions are sufficiently strong for them to be called upon (“designated”) to provide freely usable currency in exchange for SDRs within a year, together with the amounts they may be called upon to provide. The designation plan is established in advance on an annual basis (currently only on a precautionary basis) by approval of the Executive Board.


Early Repurchase. An early repurchase is made by a member before the scheduled repurchase date when the Fund represents to the member that it should repurchase because of an improvement in its balance of payments and reserve position.

ELRIC. A safeguards assessment is a diagnostic review of a central bank’s governance and control framework carried out by the IMF staff. ELRIC is an acronym that summarizes the assessments used to evaluate the adequacy of the five key areas of control and governance within a central bank. They are as follows: External audit mechanism, Legal structure and autonomy, financial Reporting, Internal audit mechanism, and system of internal Controls. Governance is an overarching principle transcending all ELRIC areas.

Emergency Assistance. Since 1962, the IMF has provided emergency assistance in the form of purchases to help members overcome balance of payments problems arising from sudden unforeseeable natural disasters such as foods, earthquakes, hurricanes, or droughts. In 1995, the IMF’s policy on emergency assistance was expanded to cover countries in postconflict situations. In 2011, coverage of General Resources Account emergency assistance was enhanced and broadened under the Rapid Financing Instrument, which is similar to the Rapid Credit Facility under the Poverty Reduction and Growth Trust.

Extended Credit Facility (ECF). The ECF is the IMF’s main tool for providing medium-term support to low-income countries. ECF arrangements support programs that enable members with protracted balance of payments problems to make significant progress toward stable and sustainable macroeconomic positions consistent with strong durable poverty reduction and growth.

Extended Fund Facility (EFF). This financing facility provides longer-term assistance to support members’ structural reforms to address medium- and longer-term balance of payments difficulties. The EFF can be adopted for up to four years with a structural agenda and annual detailed statement of policies for the next 12 months.


Financial Transactions Plan (FTP). The Executive Board adopts a Financial Transactions Plan for every six-month period specifying the amounts of SDRs and selected member currencies to be used in purchases and repurchases (transfers and receipts) expected to be conducted through the General Resources Account during that period.

Flexible Credit Line (FCL). The FCL is a flexible instrument introduced to address all balance of payments needs, potential or actual. It is for countries with very strong fundamentals, policies, and track records of policy implementation. FCL arrangements are approved, at the member country’s request, for countries meeting preset qualification criteria. Access is not subject to access limits and is available in a single upfront disbursement subject to a midterm review after a year. Disbursements are not conditional on implementation of specific policy understandings.

Forward Commitment Capacity (FCC). The FCC measures the IMF’s capacity to make new financial resources available to members from the General Resources Account for the forthcoming 12-month period, taking into account resources available. The FCC is defined as the IMF’s stock of usable resources, minus undrawn balances under GRA lending commitments, plus projected repurchases during the coming 12 months, minus repayments of borrowing one year forward, minus a prudential balance intended to safeguard the liquidity of creditors’ claims and to take into account any erosion of the IMF’s resource base. Under the expanded and amended New Arrangements to Borrow (NAB), the maximum activation period within which the IMF may make commitments funded with NAB resources is six months. Therefore, the one-year FCC has been modified to allow the inclusion of these shorter duration NAB resources within the FCC concept.

Freely Usable Currency. A currency that the IMF has determined is widely used to make payments for international transactions and widely traded in the principal exchange markets. From October 1, 2016, the Chinese renminbi, euro, Japanese yen, pound sterling, and US dollar are classified as freely usable currencies.


General Arrangements to Borrow (GAB). The GAB has been in place since 1962 and was originally conceived as a means by which the main industrialized countries could stand ready to lend to the IMF up to a specified amount of currencies. The GAB currently amounts to SDR 17 billion, and there is also an associated arrangement with Saudi Arabia for SDR 1.5 billion. In principle, the GAB can only be called upon when a proposal for an activation period under the New Arrangements to Borrow (NAB) is rejected by NAB participants. The GAB does not add to the IMF’s overall lending envelope because outstanding drawings and available commitments under the NAB and the GAB cannot exceed the total amount of NAB credit arrangements. The GAB will lapse December 25, 2018.

General Department. An accounting entity of the IMF comprising the General Resources Account, the Special Disbursement Account, and the Investment Account.

General Resources Account (GRA). The principal account of the IMF, consisting of a pool of currencies and reserve assets, representing the paid subscriptions of member countries’ quotas. The GRA is the account from which the regular lending operations of the IMF are financed.


Heavily Indebted Poor Countries (HIPC) Initiative. The HIPC Initiative, adopted in 1996, provides exceptional assistance to eligible countries to reduce their external debt burdens to sustainable levels, thereby enabling them to service their external debt without the need for further debt relief and without compromising growth. The HIPC Initiative is a comprehensive approach to debt relief that involves multilateral, Paris Club, and other official and bilateral creditors. To ensure that debt relief is put to effective use, assistance under the HIPC Initiative is limited to countries eligible for the Poverty Reduction and Growth Fund (PRGF) and the International Development Association (IDA) that have established a strong track record of policy implementation under PRGF- and IDA-supported programs. Following a comprehensive review in 1999, the initiative was enhanced to provide faster, deeper, and broader debt relief and to strengthen the links between debt relief, poverty reduction, and social policies. In 2005, the HIPC Initiative was supplemented by the Multilateral Debt Relief Initiative.


Investment Account (IA). The Second Amendment to the IMF’s Articles of Agreement in 1978 authorized the IMF to establish an Investment Account to generate income from other sources. There are two IA subaccounts: the Fixed-Income Subaccount and the Endowment Subaccount. The investment goal of the Fixed-Income Subaccount is to achieve returns that exceed the SDR interest rate over time while minimizing the frequency and extent of negative returns and underperformance over an investment horizon of three to five years. The investment goal of the Endowment Subaccount is to achieve a long-term real return target of 3 percent in US dollar terms.


Management Letter. Under IMF safeguards assessments, a letter issued by an external auditor to the management of a central bank that draws attention to material weaknesses in the internal control systems that have come to the attention of the auditor during the audit of financial statements.

Medium-Term Instruments. Under the IMF’s investment strategy, these instruments perform similarly to domestic government bonds but are claims on the Bank for International Settlements (BIS) that offer liquidity and the possibility to benefit from a credit spread over domestic bonds.

Misreporting. This term is used to broadly cover situations in which a member provides incorrect information to the IMF.

Multilateral Debt Relief Initiative (MDRI). The MDRI, which was launched to complement the Heavily Indebted Poor Countries (HIPC) Initiative, provided 100 percent relief on eligible debt to a group of low-income countries from three multilateral institutions—the IMF, the International Development Association (IDA), and the African Development Fund (AfDF). The initiative was intended to free up additional resources to help these countries reach the United Nation’s Millennium Development Goals. The debt relief covered the full stock of debt owed to the IMF as of December 31, 2004, and still outstanding at the time the country qualifies for such debt relief. Unlike the HIPC Initiative, the MDRI did not propose any parallel debt relief on the part of official bilateral or private creditors, or of multilateral institutions beyond the IMF, IDA, and AfDF. There is no longer any outstanding IMF debt eligible for MDRI debt relief.

Multilateral Debt Relief Initiative (MDRI) Trusts. The MDRI Trusts were MDRI resources administered by the IMF as trustee. They consisted of MDRI-I and MDRI-II Trusts, which received and provided resources for debt relief under the MDRI to two groups of countries differentiated by their levels of income per capita—above or below US$380 a year. The MDRI-I and the MDRI-II Trust were liquidated in 2015.


Net Present Value (NPV). The NPV of debt is a measure that takes into account the degree of concessionality. It is the sum of all future debt-service obligations (interest and principal) on existing debt, discounted at the market interest rate. Whenever the interest rate on a loan is lower than the market rate, the resulting NPV of debt is smaller than its face value, with the difference reflecting the grant (concessionality) element.

New Arrangements to Borrow (NAB). Arrangements under which the participants stand ready to lend to the IMF. The NAB do not replace the General Arrangements to Borrow but are to be the first and principal recourse in the event of a need to provide supplementary resources to the IMF.

Norm for Remuneration. A member’s norm determines its remunerated reserve tranche position. It is the sum of (1) 75 percent of a member’s quota before the Second Amendment of the Articles (April 1, 1978), and (2) subsequent quota increases. For a country that became a member after April 1, 1978, the norm is a percentage of its quota equal to the weighted average relative to quota of the norms applicable to all members on the date that the member joined the IMF, plus subsequent quota increases.


Phasing. The practice of making the IMF’s resources available to its members in installments over the period of an arrangement. The pattern of phasing can be even, frontloaded, or backloaded, depending on the financing needs and the speed of adjustment.

Policy Coordination Instrument (PCI). The PCI is a non-financial instrument established by the IMF’s Executive Board in 2017. It is available to all countries that do not require IMF financing at the time of the PCI approval and that do not have overdue financial obligations to the IMF. The PCI aims to help countries better coordinate their access to multiple layers of the global financial safety net, particularly regional financing arrangements.

Policy Support Instrument (PSI). The PSI is a nonfinancial instrument established by the IMF’s Executive Board in 2005 to support low-income countries that do not want—or need—IMF financial assistance but seek to consolidate their economic performance with IMF monitoring and support. The PSI is available to all countries eligible for the Poverty Reduction and Growth Trust with a poverty reduction strategy in place and a framework focused broadly on achieving and maintaining a stable and sustainable macroeconomic position, including debt sustainability, consistent with strong and durable poverty reduction and growth. The PSI helps countries design effective economic programs that, once approved by the IMF’s Executive Board, deliver clear signals to donors, multilateral development banks, and markets of the IMF’s endorsement of the strength of a member’s policies.

Post-Catastrophe Debt Relief (PCDR) Trust. The PCDR Trust, established in June 2010, allowed the IMF to join international debt relief efforts when poor countries are hit by the most catastrophic of natural disasters. In February 2015, the Executive Board approved its transformation to the Catastrophe Containment and Relief Trust. This has expanded the circumstances under which the IMF can provide exceptional assistance to low-income members to include public health disasters.

Poverty Reduction and Growth Trust (PRGT). In July 2009, the IMF’s Executive Board approved a new concessional financing framework under which a new Poverty Reduction and Growth Trust replaced the Poverty Reduction Growth Facility–Exogenous Shock Facility (PRGF-ESF) Trust. Separate loan and subsidy accounts were established under the PRGT to receive and provide resources to finance new low-income country lending facilities under the new trust. These reforms became effective and operational in January 2010, when all lenders and subsidy contributors to the PRGF-ESF Trust provided their consent. The trust comprises four Loan Accounts, a Reserve Account, and four Subsidy Accounts:

  • General Loan Account (GLA): The purpose of the account is to cover all facilities of the PRGT. The GLA borrows resources from central banks, governments, and official institutions, as under the previous PRGF-ESF Trust, largely at market-related rates. The proceeds of these loans are used to finance lending to eligible low-income countries under all facilities of the PRGT.

  • Special Loan Accounts (SLAs): These accounts accommodate donors’ preferences for earmarking their contributions for specific facilities. Tree separate loan accounts were created for the Extended Credit Facility, Standby Credit Facility, and Rapid Credit Facility.

  • Reserve Account: The coverage of the Reserve Account was expanded to provide security for loans under all facilities of the PRGT. The role of the Reserve Account remains the same, however—to provide payment to the lenders to the Loan Accounts of the PRGT in the event of a payment delay or nonpayment by borrowers. It also serves to bridge temporary mismatches between repayments from borrowers and repayments to lenders. The Reserve Account is, and will continue to be, replenished upon the settlement by borrowers of the payment arrears or mismatches that resulted in disbursements from the Reserve Account.

  • General Subsidy Account (GSA): This account receives and provides subsidies for existing and new loans under all facilities of the PRGT. Resources in a special subsidy account are used first to subsidize loans under the facility to which it is linked before resources in the General Subsidy Account are drawn.

  • Special Subsidy Accounts (SSAs): These were established to accommodate donors’ preferences for earmarking their contributions for specific facilities. Tree separate subsidy accounts were created, for the Extended Credit Facility (ECF), Standby Credit Facility (SCF), and Rapid Credit Facility (RCF).

    • ECF Subsidy Account provides resources to subsidize new ECF loans, outstanding PRGF loans, and loans disbursed under the ESF. The ECF Subsidy Account is the “default” subsidy account for the receipt of existing subsidy resources to be transferred from the PRGF-only and PRGF-ESF Subsidy Accounts of the PRGF-ESF Trust, and can also receive new bilateral contributions. The PRGF and PRGF-ESF Subsidy Accounts were terminated when the PRGT reforms became effective.

    • SCF Subsidy Account provides resources for subsidizing SCF loans.

    • RCF Subsidy Account provides resources for subsidizing RCF loans.

Precautionary Balances. Financial resources held in the form of General and Special Reserves and in the first Special Contingent Account, the latter of which was established in the context of the arrears strategy for dealing with existing or potential overdue obligations.

Precautionary and Liquidity Line (PLL). This is an additional financing tool of the IMF to flexibly meet the needs of member countries with sound economic fundamentals but with some remaining vulnerabilities that preclude them from using the Flexible Credit Line. The PLL provides financing to meet any balance of payments needs and is intended to serve as insurance or help resolve crises under a broad range of situations.

Prescribed Holder. A nonparticipant in the SDR Department that has been prescribed by the IMF as a holder of SDRs, including nonmembers, member countries that are not SDR Department participants, institutions that perform the functions of a central bank for more than one member, and other official entities.

Poverty Reduction and Growth—Heavily Indebted Poor Countries (PRG-HIPC) Trust. This trust is composed of three subaccounts for receiving and providing grants for debt relief and subsidization of outstanding Extended Credit Facility (ECF) loans and Umbrella Accounts:

  • Subaccounts: The ECF subaccount, the HIPC subaccount, and the ECF-HIPC subaccount permit contributors to earmark resources for either ECF or HIPC or both operations. In addition, resources in the ECF-HIPC account that are not earmarked for HIPC operations can be transferred to the ECF Subsidy Account if resources in the latter are insufficient for subsidizing ECF lending.

  • Umbrella Accounts: Separate subaccounts (Umbrella Accounts) are established for each HIPC beneficiary. Resources placed in the Umbrella Accounts—representing HIPC grants approved by the Executive Board and disbursed to the member at the completion point, interim assistance between the decision and completion points, plus accumulated interest—are used to meet each beneficiary’s obligations to the IMF as they fall due based on a schedule approved by the Executive Board.

Program Review. Provides a framework to assess progress on policies that cannot easily be quantified or defined as performance criteria and to assess overall progress toward program objectives of macroeconomic adjustment and structural reform in the context of an IMF program. The completion of a review makes available the next installment for purchases under the arrangement.

Protracted Arrears. Arrears to the IMF of more than six months.

Purchases and Repurchases. When the IMF makes its general resources available to a member, it does so by allowing the member to purchase SDRs or other members’ currencies in exchange for its own (domestic) currency. The IMF’s general resources are, by nature, revolving: purchases (loans) have to be reversed by repurchases (repayments) in installments within the period specified for a particular policy or facility. Although the purchase-repurchase mechanism is not technically or legally a loan, it is the functional equivalent of a loan.


Quantitative Performance Criteria (QPC). These are specific and measurable conditions that are so critical as to stop disbursements in the event of nonobservance. QPCs normally include targets on monetary and credit aggregates, international reserves, fiscal balances, and external borrowing.

Quota. Quotas constitute the primary source of the IMF’s financial base and play several key roles in its relationship with its members. Each member is assigned a quota based broadly on its relative position in the world economy and pays a capital subscription to the IMF equal to the quota. Quotas also determine the distribution of voting power to IMF members and thereby their decision making and representation on the Executive Board. Quotas also play a role in determining members’ access to IMF resources and their share in a general allocation of SDRs. Quotas are reviewed regularly, normally every five years.


Rapid Credit Facility (RCF). The RCF provides rapid, low-access financing with limited conditionality to low-income countries facing an urgent balance of payments need. The RCF streamlines the IMF’s emergency assistance, provides significantly higher levels of concessionality, can be used flexibly in a wide range of circumstances, and places greater emphasis on a country’s poverty reduction and growth objectives.

Rapid Financing Instrument (RFI). The RFI provides rapid and low-access financial assistance to all members facing an urgent balance of payments need without the need for a full-fledged program. It can provide support to meet a broad range of urgent needs, including those arising from commodity price shocks, natural disasters, postconflict situations, and emergencies resulting from fragility. As a single, flexible mechanism with broad coverage, the RFI replaced the IMF’s previous policy that covered Emergency Natural Disaster Assistance and Emergency Post-Conflict Assistance. The RFI is similar to the RCF for member countries eligible for the Poverty Reduction and Growth Trust .

Remunerated Reserve Tranche Position. The IMF pays interest, called remuneration, on a member’s reserve tranche position except on a small portion that is provided to the IMF as interest-free resources. This unremunerated (non-interest-bearing) portion of the reserve tranche position is equal to 25 percent of the member’s quota on April 1, 1978—that part of the quota that was paid in gold prior to the Second Amendment of the IMF’s Articles of Agreement. The gold tranche was never remunerated historically, so it was natural to set aside this same amount in SDRs on this date as the unremunerated reserve tranche. For a member that joined the IMF after that date, the unremunerated reserve tranche is the same percentage of its initial quota as the average unremunerated reserve tranche was as a percentage of the quotas of all other members when the new member joined the IMF. The unremunerated reserve tranche remains fixed for each member in nominal terms, but because of subsequent quota increases, it is now significantly lower when expressed as a percentage of quota.

Reserve Tranche Position (RTP). In exchange for the reserve asset portion of its quota payment, an IMF member acquires a liquid claim on the IMF, called a reserve tranche position (RTP). The RTP forms part of the member’s external reserves and is calculated as the difference between quota and the Fund’s holdings of a member’s currency, excluding holdings acquired as a result of the use of Fund credit, and excluding holdings in the No. 2 Account that are less than 1/10 of 1 percent of quota.

Resource Mobilization Plan (RMP). The RMP allows for effective use of the New Arrangements to Borrow (NAB) for crisis prevention and ensures adequate burden sharing among NAB participants. The RMP is approved periodically by the Executive Board for use of the NAB and to finance the General Resources Account. Previously, the NAB could be activated only on a loan-by-loan basis through procedures that were complex and relatively lengthy.

Rights Accumulation Program (RAP). An economic program agreed between the IMF and an eligible member in protracted arrears to the IMF that provides a framework for the member to establish a satisfactory track record of policy and payments performance and permits the member to accumulate rights to future drawings of IMF resources following its clearance of arrears to the IMF up to the level of arrears outstanding at the beginning of the program.


Safeguards Assessment. A diagnostic review of a central bank’s governance and control framework. Specifically, it evaluates a member country’s central bank’s governance, control, reporting, and auditing systems. Assessments aim to ensure that resources, including those provided by the IMF, are adequately monitored and controlled (see also ELRIC).

Service Charge. A service charge of 0.5 percent is levied on each drawing from the General Resources Account.

Special Charges (Additional Charges). The IMF levies special charges on principal payments and charges that are less than six months overdue.

Special Contingent Account (SCA). Account established to hold precautionary balances to protect the IMF’s financial position against credit risk in connection with the IMF’s lending activities.

Special Drawing Right (SDR). International reserve asset created by the IMF in 1969 as a supplement to existing reserve assets.

  • SDR Allocation. Distribution of SDRs to members by decision of the IMF. A “general” allocation requires a finding by the IMF that there is a global need for additional liquidity.

  • SDR Assessment. An assessment levied by the IMF, at the same rate for all participants in the SDR Department, on a participant’s net cumulative SDR allocations to cover the expenses of conducting the business of the SDR Department.

  • SDR Department. This department, an accounting entity rather than an organizational unit of the IMF, records and administers all transactions and operations involving SDRs.

  • SDR Interest Rate. Determined on a weekly basis, the SDR interest rate is a weighted average of interest rates on short-term financial instruments in the markets of the currencies included in the SDR valuation basket, except if the weighted average falls below the floor for the SDR interest rate of 0.050 percent (5 basis points). It is used to calculate interest payable/receivable on member’s SDR holdings/allocations, the remuneration payable on a creditor member’s reserve tranche position, and interest payable to creditor members for the use of borrowed resources.

  • SDR Interest and Charges on SDR Holdings and Allocations. Based on the SDR Interest Rate, interest is paid to each holder of SDRs and charges are levied, at the same rate, on each participant’s net cumulative SDR allocations.

  • SDR Use. The SDR is used almost exclusively in transactions with the IMF, and it serves as the unit of account of the IMF and other international organizations.

  • SDR Valuation. The currency value of the SDR is determined daily by the IMF by summing the values in US dollars, based on market exchange rates, of a basket of five major currencies— US dollar, euro, Chinese renminbi, Japanese yen, and pound sterling. The SDR valuation basket is normally reviewed every five years.

Staff-Monitored Program (SMP). A Staff-Monitored Program is an informal and flexible instrument for dialogue between the IMF staff and a member country on its economic policies. Under a Staff-Monitored Program the country’s targets and policies are monitored by the IMF staff; a Staff-Monitored Program is not supported by the use of the IMF’s financial resources, nor is it subject to the endorsement of the Executive Board of the IMF.

Stand-By Arrangement (SBA). A decision of the IMF by which a member is assured that it will be able to make purchases from the General Resources Account up to a specified amount and during a specified period, so long as the member observes the terms specified.

Standby Credit Facility (SCF). The SCF provides financing similar to SBAs to low-income countries with short-term balance of payments needs, allowing also for precautionary use. SCF arrangements support programs that enable members with actual or potential short-term balance of payments needs to achieve, maintain, or restore stable and sustainable macroeconomic positions consistent with strong and durable poverty reduction and growth.

Surcharge to the Basic Rate of Charge. Surcharges are an important component of the IMF’s risk-mitigation framework. The system of surcharges is based on the amount of credit above a certain quota-based threshold (level-based surcharges) and the period during which credit at that level is outstanding (time-based surcharges).

Surveillance. An essential aspect of the IMF’s responsibilities associated with overseeing the policies of its members in complying with their obligations specified in the Articles of Agreement to ensure the effective operation of the international monetary system.


Transactions by Agreement. Transactions in which participants in the SDR Department (currently all IMF members) and/or prescribed holders voluntarily exchange SDRs for currency at the official rate determined by the IMF.


Upper Credit Tranche. This originally referred to credit available from the IMF in an amount between 25 and 100 percent of a country’s quota. Since access to IMF credit is now permitted substantially above 100 percent of quota, the upper credit tranches now refer to any use of IMF credit above 25 percent of quota.

Usable Currency. The currency of a member that the IMF considers to be in a sufficiently strong external position that its currency can be used to finance IMF transactions with other members through the financial transactions plan. Not to be confused with freely usable currency.


  • Access limits, 131, 167

  • Access policy, 31, 167

  • Accounting unit, 167

  • Accounts, in member countries, 37–38, 167

  • Additional charges. See Special charges

  • Ad hoc increases, for quotas, 16, 18, 18t

  • Administered Account for Interim Holdings of Voluntary Contributions for Fund Activities, 163

  • Administered accounts, 162–64, 167

  • Advance repurchase, 132, 167

  • Alternative Executive Director, 3, 18

  • Amendments. See Articles of Agreement amendments

  • Arrears (overdue financial obligations), 133t, 134f, 148

    • burden sharing for, 143–44

    • central banks and, 137–39, 137f, 139f

    • clearance modalities for, 136

    • collaboration strategy for, 132–33

    • de-escalation policy for, 135n12, 151, 151n1

    • ELRIC and, 137–38

    • to General Department, 149

    • misreporting framework for, 153–54

    • postconflict and, 135

    • prevention of, 132

    • to PRGT, 132, 136, 150

    • protracted, 73, 132, 172

    • RAP for, 135

    • remedial measures for, 135–36

    • to SDR Department, 148n1, 149

    • SDRs and, 91n12

    • service charges for, 110

    • special charges for, 136, 136n13, 136n14

  • Articles of Agreement, 2

    • on arrears, 148

    • on balance of payments, 30

    • burden sharing and, 143

    • on decision-making, 10

    • EAC and, 155

    • exchange rate risk and, 131

    • freely usable currency in, 87, 87n6

    • FTP and, 24

    • gold in, 34

    • IA and, 8

    • IMF income and, 110–11

    • quotas and, 14

    • SDR Department and, 85–86

    • SDRs and, 87, 92

  • Articles of Agreement amendments, 167–68

    • on gold, 34

    • on IA, 107, 112, 112n11

    • Quota and Governance Reform and, 3

    • SDRs and, 8, 86, 91, 91n12

  • Audit framework, 139–40

  • Balance of payments, 1, 6, 23, 26n26, 30–31, 96, 130n5

  • Balance sheets

    • GRA and, 36, 36n39

    • of IMF, 35–37, 35t, 39, 165–66

    • of SDR Department, 95, 95n18, 95t

  • Bank for International Settlements (BIS), 95, 114n14, 132

  • Basic rate of charge, 117–18, 168

  • Bhutan, 73

  • Bilateral Borrowing Agreements, 22

  • Bilateral loan and note purchase agreements, 22

  • Bilateral services, 123

  • BIS. See Bank for International Settlements

  • Blackout periods, 33

  • Blending, 52, 52n9, 52n10

  • Board of Governors, 3, 10n2, 14, 15, 18, 90, 96, 140

  • Board Reform Amendment, 18

  • Borrowing

    • burden sharing and, 143

    • global financial crisis of 2007–2009 and, 4–5

    • by GRA, 6, 92

    • by IMF, 19–22, 20f

    • by PRGT, 38n45

    • quotas and, 14n2

    • SDRs, 59n22, 102

    • surcharges and, 110

    • See also General Arrangements to Borrow; New Arrangements to Borrow

  • Borrowing Agreements of 2012, 5, 22

  • Brazil, 4

  • Bretton Woods Convention, 14, 34

    • exchange rates and, 2, 4, 86, 96

    • SDRs and, 85, 96

  • Burden sharing, 168

    • for arrears, 143–44

    • IFRS and, 146, 146n1, 146n2

    • remuneration and, 109n7

  • Cambodia, 16

  • Catastrophe Containment (CC), 55–57

  • Catastrophe Containment and Relief Trust (CCR Trust), 168

    • on concessional lending, 8

    • debt relief by, 63, 65, 65t, 72

    • de-escalation policy for, 151n1

    • GRA and, 107n3, 116

    • for LICs, 47, 55

    • LICs and, 55

    • MDRI and, 9n8

  • CC. See Catastrophe Containment

  • CCL. See Contingent Credit Line

  • CCR Trust. See Catastrophe Containment and Relief Trust

  • Central banks

    • credit risk and, 126

    • IMF and, 9

    • IMF balance sheet and, 165–66

    • RTP and, 42

    • safeguard assessments of, 137–39, 137f, 138n16, 139f

  • CEP. See Committee of Eminent Persons

  • Charges, 126

    • See also Surcharges

  • China, 3, 4, 8, 16, 18, 87, 163

  • Commitment fees, 110, 121–22, 131

  • Committee of Eminent Persons (CEP), 107, 107n3, 110, 123

  • Compression factor, for quotas, 15, 15n3

  • Concessional lending, 4

    • administrative expenses of, 80

    • drawings for, 59, 59n21

    • encashment of, 60

    • fundraising for, 79

    • to HIPCs, 6

    • by IMF, 6–8, 50f, 79

    • interest rates for, 59, 70

    • to LICs, 47–49, 48t, 49f, 57–65, 77–78

    • maturities for, 59

    • by PRGT, 6, 8, 49–54, 52t, 53t, 57–59, 58f, 58t, 60t, 107, 111, 116

    • resources for, 59–61

    • subsidy resources for, 60–61

    • timeline for, 66

    • transferability of, 60

    • trusts for, 77–78

  • Conditionality, 31–33, 43, 51, 168

  • Contingent Credit Line (CCL), 121

  • Credit risk, 115, 125–28, 127t, 141, 146

  • Credit tranches, 6, 31, 110, 119

  • Currencies

    • conversion of, 4, 23

    • FTP and, 25–26

    • of IMF, 37

    • purchase repurchase mechanisms and, 23

    • quotas and, 14n2

    • quota subscriptions and, 23

    • RTP and, 24, 26n25, 42

    • in SDR basket, 86, 87, 88, 88f, 88t, 98–99, 100

    • SDRs and, 24n22, 37n42, 86, 92

    • strength of, 23

    • trading of, 23n18

    • weighting of, 98–99

    • See also Freely usable currency; Usable currency

  • Currency amounts, 100, 101

  • Debt relief, 168

    • by CCR Trust, 63, 65, 65t, 72

    • framework for, 62–63, 63f

    • by HIPC Initiative, 63–64

    • for Liberia, 75

    • for LICs, 54f, 55, 55f, 57–81

    • by PCDR, 65t

    • by PRG-HIPC Trust, 62, 63f, 64f, 65t

    • resources for, 63–65

    • timeline for, 72

    • See also Multilateral Debt Relief Initiative; Post-Catastrophe Debt Relief Trust

  • Debt sustainability, 31n32

  • Debt Sustainability Analysis (DSA), 52

  • Decision-making, 3, 10

  • De-escalation policy, 135n12, 151, 151n1

  • De minimis cases, 154

  • Departments, 167

  • Depository and fiscal agency, 168

  • Designation mechanism, 105

  • Designation plan, 168

  • Drawings, 59, 59n21

  • DSA. See Debt Sustainability Analysis

  • EAC. See External Audit Committee

  • Early repurchase, 16

  • ECF. See Extended Credit Facility

  • Economic Development Document (EDD), 71

  • EFF. See Extended Fund Facility

  • ELRIC. See External audit mechanism Legal structure and autonomy financial Reporting Internal audit mechanism and system of internal Controls

  • Emergency assistance, 152, 169

  • Emergency Financing Mechanism, 27

  • Emergency Natural Disaster Assistance (ENDA), 30, 67, 164

  • Emergency Post-Conflict Assistance (EPCA), 30, 66, 67, 164

  • Encashment, of concessional lending, 60

  • ENDA. See Emergency Natural Disaster Assistance

  • Endowment Subaccount, 113f, 114, 115–16, 115f, 131, 132

  • Enhanced Structural Adjustment Facility (ESAF), 49, 50f, 61, 66

  • EPCA. See Emergency Post-Conflict Assistance

  • EPE. See Ex post evaluation

  • ERP. See Extended Rights to Purchase

  • ESAF. See Enhanced Structural Adjustment Facility

  • ESF. See Exogenous Shock Facility

  • ESF-HAC. See Exogenous Shock Facility-High Access Component

  • Exceptional Access Framework, access policy, 31

  • Exchange rate risk, 126, 131–32, 141

  • Exchange rates

    • Bretton Woods Convention and, 2, 4, 86, 96

    • SDRs and, 86, 96

  • Executive Board

    • on arrears, 136

    • basic rate of charge and, 117

    • bilateral loan and note purchase agreements and, 22

    • on concessional lending, 6, 61

    • credit risk and, 126

    • day-to-day business by, 3

    • decision-making by, 10

    • default size of, 10n2

    • EAC and, 139–40, 155

    • Emergency Financing Mechanism and, 27

    • on ERP, 33

    • on ESF, 66

    • FTP and, 25–26

    • GAB and, 21

    • on gold, 34, 44

    • on GRA, 5

    • IA and, 107

    • IMF income and, 110

    • misreporting framework and, 153

    • NAB and, 21

    • precautionary balances and, 128

    • on PRS, 53n11, 71

    • PSI of, 69

    • on QPCs, 33

    • quotas and, 14, 15

    • on RCF, 52n6, 52n7

    • reform of, 4, 5, 19

    • on safeguards assessment, 138

    • SDR basket and, 87–88, 98

    • SDR Department designation mechanism and, 105

    • on SDRs, 8

    • SDRs and, 86, 86n2, 87, 90, 109

    • on voting and quotas, 3

  • Executive Directors, 19

    • decision-making by, 10

    • SDR basket and, 88

    • Voice and Participation amendments, 18

  • Exogenous Shock Facility (ESF), 50f, 66, 68

  • Exogenous Shock Facility-High Access Component (ESF-HAC), 66, 68

  • Ex post evaluation (EPE), 31

  • Extended Arrangements, 32f, 33

  • Extended Credit Facility (ECF), 2, 169

    • concessional lending by, 48t, 49, 50

    • Liberia and, 75

    • LICs and, 5

    • PRG-HIPC and, 62

    • PRS and, 53n11, 71

    • SSAs and, 59

    • Subsidy Account of, 171

    • terms of, 51

  • Extended Fund Facility (EFF), 2, 169

    • balance of payments and, 6

    • credit tranches and, 110

    • GRA and, 29

    • Liberia and, 75

    • surcharges and, 119–20

  • Extended Rights to Purchase (ERP), 33, 33n33

  • External Audit Committee (EAC), 139, 155

  • External audit mechanism Legal structure and autonomy financial Reporting Internal audit mechanism and system of internal Controls (ELRIC), 137–38, 169

  • FCC. See Forward Commitment Capacity

  • FCL. See Flexible Credit Line

  • Fifteenth General Review of Quotas, 15, 19

  • Finance Department, of IMF, 138

  • Financial risk management. See Risk management

  • Financial Transactions Plan (FTP), 23, 24–26, 169

    • balance of payments and, 26n26

    • FCC and, 147

    • liquidity risk and, 128–30

    • purchase repurchase mechanisms and, 24–25

    • SDRs and, 128–30

  • Financing for Development, 51n3

  • First Special Contingent Account (SCA-1), 75, 136

    • burden sharing and, 143, 146

    • GRA and, 145n2

    • Liberia and, 145n3

    • precautionary balances in, 145, 145n2

    • remuneration and, 144n1

  • Fixed-Income Subaccount, 112–15, 113f, 114n14, 114t, 131, 132

  • Flexible Credit Line (FCL), 2, 5, 6, 169

    • commitment fees and, 122

    • GRA and, 26, 28, 29–30

    • safeguards assessment and, 152

  • Forward Commitment Capacity (FCC), 22n16, 128, 128n4, 129f, 147, 169

  • Fourteenth General Review of Quotas, 15, 18–19

    • commitment fees and, 122

    • global financial crisis of 2007–2009 and, 5

    • Quota and Governance Reform in, 3

    • on quotas, 3, 13–14

    • surcharges and, 119–20

  • Framework Administered Account for Selected Fund Activities, 162–63

  • Framework Administered Account for Technical Assistance Activities, 162

  • France, 4

  • Freely usable currency, 169

    • in Articles of Agreement, 87, 87n6

    • SDRs and, 87, 92n15, 98

  • FTP. See Financial Transactions Plan

  • G7. See Group of Seven

  • G8. See Group of Eight

  • G10. See Group of Ten

  • G20. See Group of Twenty

  • GAB. See General Arrangements to Borrow

  • GDP. See Gross Domestic Product

  • General Arrangements to Borrow (GAB), 6n7, 13, 19–21, 19n9, 21n10, 21t, 169

  • General Department, 149, 169

    • See also General Resources Account; Investment Account; Special Disbursement Account

  • General Loan Account (GLA), 57, 59, 171

  • General Reserve, precautionary balances in, 145

  • General Resources Account (GRA), 169–70

    • access policy for, 31

    • arrears to, 148n1

    • balance of payments and, 23

    • balance sheet and, 36, 36n39

    • borrowing by, 6, 92

    • CCR Trust and, 107n3, 116

    • commitment fees and, 121

    • on concessional lending, 8

    • credit risk and, 126

    • currencies in, 37

    • exchange rate risk and, 131

    • financial terms under, 27t–28t

    • FTP and, 24–26

    • global financial crisis of 2007–2009 and, 5, 6, 27–28

    • IA and, 108, 118n3

    • income from, 8, 107

    • lending by, 4n4, 6

    • lending kit of, 26–30

    • LICs and, 47

    • liquidity risk and, 128–30, 129f, 129t

    • member positions in, 25f

    • misreporting framework for, 153

    • nonconcessional lending and, 13

    • precautionary balances in, 127, 127t

    • PRGT and, 52, 52n9, 52n10, 107n3, 116

    • quota subscriptions and, 13

    • reimbursements to, 116

    • RTP and, 23n19

    • SCA-1 and, 145n2

    • SDA and, 107n3

    • SDR Department and, 107n3, 116

    • SDRs and, 24, 61n26, 85, 91, 92, 94f

    • service charges of, 110

    • surcharges and, 119

  • General Subsidy Account (GSA), 59, 171

  • Germany, 4

  • GLA. See General Loan Account

  • Global financial crisis of 2007–2009, 1–5, 19, 21–22, 27–28, 147

  • Globalization, 1, 4

  • Gold

    • administered account for, 163–64

    • in Articles of Agreement, 34

    • Bretton Woods Convention and, 34

    • IMF and, 34–35, 36n40, 107, 108, 108n4, 110, 112n13

    • key transactions of, 44

    • MDRI and, 65n31

    • RTP on, 42

    • SDRs and, 86n4, 96

  • GRA. See General Resources Account

  • Great Depression, 1

  • Greece, 22n15, 132

  • Gross Domestic Product (GDP), 3n3, 15, 130

  • Group of Eight (G8), 76

  • Group of Seven (G7), 21, 21n11

  • Group of Ten (G10), 21, 21n12

  • Group of Twenty (G20), 4–5, 21–22, 22n13

  • GSA. See General Subsidy Account

  • Haiti, 72

  • HAPA. See High Access Precautionary Arrangement

  • Heavily indebted poor countries (HIPCs), 6

  • Heavily Indebted Poor Countries Initiative (HIPC Initiative), 170

    • debt relief by, 63–64

    • eligibility for, 53t, 54–55

    • for LICs, 47, 54–55, 55t, 56t

    • misreporting framework for, 153

    • NPV and, 74

    • sunset clause for, 73

    • topping-up assistance of, 74

    • Umbrella Accounts of, 63

    • See also Poverty Reduction and Growth-Heavily Indebted Poor Countries Trust

  • Hedging, 78, 115, 132

  • High Access Precautionary Arrangement (HAPA), 121

  • HIPC Initiative. See Heavily Indebted Poor Countries Initiative

  • HIPCs. See Heavily indebted poor countries

  • Hong Kong, 16

  • IA. See Investment Account

  • IDA. See International Development Association

  • IFRS. See International Financial Reporting Standards

  • IMF. See International Monetary Fund

  • IMFC. See International Monetary and Financial Committee

  • Income risk, 126, 131–32, 141

  • Income statements, 35–37, 36t, 95, 95t, 107, 108f

  • India, 4

  • Inflation, 4

  • Integrated Surveillance Decision, 2, 2n1

  • Interest rate risk, 126, 131, 141

  • Interest rates, 4

    • for concessional lending, 59, 70

    • by PRGT, 51

    • SDR basket and, 87

    • of SDRs, 8, 59, 59n23, 85, 86, 89, 89n8, 90f, 93, 101, 109, 109f, 144, 144n2

  • Interim Administered Account for Remaining Windfall Gold Sales Profits, 163–64

  • Interim Administered Account for Windfall Gold Sales Profits, 163

  • International Bank for Reconstruction and Development. See World Bank

  • International Development Association (IDA), 51, 53n14

  • International Financial Reporting Standards (IFRS), 127, 140, 143, 146, 146n1, 146n2

  • International Monetary and Financial Committee (IMFC), 4, 10, 21–22

  • International Monetary Fund (IMF)

    • access policy for, 31

    • administrative expenses of, 36–37

    • arrears to, 148

    • assets of, 26–35

    • audit framework of, 139–40

    • balance sheets of, 35–37, 35t, 39, 165–66

    • basic rate of charge and, 117–18

    • borrowing by, 19–22, 20f

    • capacity building by, 3

    • central banks and, 9

    • concessional lending by, 6–8, 50f, 79

    • conditionality by, 31–33, 43

    • credit by facility of, 29f

    • credit outstanding of, 30–35

    • currencies of, 37

    • decision-making at, 10

    • Finance Department of, 138

    • financial structure of, 4, 7f

    • financing mechanism of, 22–26, 23n17

    • in global financial crisis of 2007–2009, 4–5

    • gold and, 34–35, 36n40, 107, 108, 108n4, 110, 112n13

    • income of, 8, 36, 37, 107–23, 111f

    • income statements of, 35–37, 36t, 107, 108f

    • information sources on, 9

    • investment income of, 111–16

    • lending by, 5–9, 22, 23–24, 23f, 24f

    • lending income of, 109–10

    • liquidity of, 130t

    • loss-absorption capacity of, 127n2

    • member countries of, 37–38, 157–60

    • nonconcessional lending by, 6, 13–44

    • operational expenses of, 36

    • overview of, 1–9

    • phasing by, 31–33

    • preferred creditor status of, 142

    • purchase repurchase mechanisms of, 23, 24–25

    • repurchase policies of, 33, 33n36, 33n37

    • risk management by, 8–9, 114–16, 125–55

    • role and purposes of, 2–4

    • RTP of, 42, 130n5

    • safeguard assessments of, 152

    • SDRs and, 91–92

    • trusts of, 77–78

    • voting power at, 3, 3n2

    • website of, 9

  • Investment Account (IA), 111–16, 170

    • Articles of Agreement amendments on, 107, 112, 112n11

    • Articles of Agreement and, 8

    • asset size of, 113f

    • balance sheet and, 36

    • earnings of, 116, 116f

    • Executive Board and, 107

    • GRA and, 108, 118n3

    • interest rate risk and, 131

    • nonconcessional lending and, 13

    • operational risk in, 116

    • Rules and Regulations for, 112–13

    • SDRs and, 89n7, 107n1

    • subaccounts of, 112–16, 113f, 113t, 114n14, 114t, 115f, 131

  • Ireland, 22n15

  • Italy, 4

  • Japan, 4, 89n9, 162

  • Korea, 3, 16, 18

  • Kyrgyz Republic, 73

  • Lao P.D. R., 73

  • Lending

    • credit risk and, 126–27

    • credit tranches and, 6

    • by GRA, 4n4, 6

    • by IMF, 5–9, 22, 23–24, 23f, 24f

    • to LICs, 5–6

    • See also Concessional lending; Nonconcessional lending

  • Lending kit, of GRA, 26–30

  • Liberia, 75, 136, 145n3, 151

  • LICs. See Low-income countries

  • Liquidity, 115

    • FCC and, 147

    • FTP and, 25

    • of IMF, 130t

    • quotas and, 23n20

    • SDRs and, 86, 90

    • See also Precautionary and Liquidity Line

  • Liquidity risk, 126, 128–31, 129f, 141

  • Loss-absorption capacity, 127n2

  • Low-income countries (LICs)

    • CCR Trust for, 47, 55

    • concessional lending to, 47–49, 48t, 49f, 57–65, 77–78

    • debt relief for, 54f, 55f, 57–81

    • financial assistance to, 47–68

    • GRA and, 47

    • HIPC Initiative for, 47, 54–55, 55t, 56t

    • IMF and, 2

    • IMF income and, 110

    • lending to, 5–6

    • MDRI for, 47

    • PCDR and, 55

    • PRGT for, 47, 49–54, 51n3, 52t, 53t

  • Managing Director, 61, 61n17, 140, 153, 155

  • Maturities, 59, 119, 126

  • MDRI. See Multilateral Debt Relief Initiative

  • Medium-Term Instruments (MTIs), 114n14, 170

  • Mexico, 3, 16, 18

  • Misreporting framework, 153–54, 170

  • MTIs. See Medium-Term Instruments

  • Multilateral Debt Relief Initiative (MDRI), 75, 164, 170

    • debt relief by, 62n28, 63, 64n30, 72, 76

    • gold and, 65n31

    • for LICs, 47

    • liquidation of, 9n8

    • SDA and, 65n31, 76

    • SDRs and, 65n32

  • NAB. See New Arrangements to Borrow

  • Net present value (NPV), 74, 170

  • New Arrangements to Borrow (NAB), 5, 5n5, 6, 21–22, 21t, 22n14, 170

    • FCC and, 22n16, 128n4, 147

    • GAB and, 19–21, 19n9

    • GRA and, 92

    • interest rate risk and, 131

    • liquidity risk and, 130

    • RMP of, 26

  • Nonconcessional lending, 2

    • by IMF, 6, 13–44

    • quotas and, 13–19

  • Norm for remuneration, 170

  • NPV. See Net present value

  • OECD. See Organisation for Economic Co-operation and Development

  • Office of Internal Audit and Inspection (OIA), 140

  • Oil Facility, 49n1

  • Operational risk, 116, 141

  • Organisation for Economic Co-operation and Development (OECD), ELRIC from, 138

  • Overdue financial obligations. See Arrears

  • PCDR. See Post-Catastrophe Debt Relief Trust

  • PCI. See Policy Consultation Instrument; Policy Coordination Instrument

  • PCL. See Precautionary Credit Line

  • PCR. See Post-Catastrophe Relief

  • People’s Bank of China, administered account for, 163

  • Peru, 135

  • Phasing, 31–33, 171

  • PLL. See Precautionary and Liquidity Line

  • Poland, 22

  • Policy Consultation Instrument (PCI), 26

  • Policy Coordination Instrument (PCI), 28, 171

  • Policy Support Instrument (PSI), 50, 69, 152, 171

  • Post-Catastrophe Debt Relief Trust (PCDR), 6, 55, 65t, 171

  • Post-Catastrophe Relief (PCR), 55

  • Post-conflict cases. See Emergency Post-Conflict Assistance

  • Post-EPCA/ENDA Interim Administered Account, 164

  • Post-MDRI-II Interim Administered Account, 164

  • Post-SCA-2 Administered Account, 163

  • Poverty Reduction and Growth Facility (PRGF)

    • ESF and, 68

    • Liberia and, 75

  • Poverty Reduction and Growth Facility-Exogenous Shocks Facility (PRGF-ESF), 66

  • Poverty Reduction and Growth-Heavily Indebted Poor Countries Trust (PRG-HIPC Trust), 8, 62, 63f, 64f, 65t, 172

  • Poverty Reduction and Growth Trust (PRGT), 2, 30n30, 171

    • access limits for, 51–52, 52t

    • arrears to, 132, 136, 150

    • blending by, 52, 52n9, 52n10

    • borrowing by, 38n45

    • concessional lending by, 6, 8, 49–54, 49f, 52t, 53t, 57–59, 58f, 58t, 60t, 66, 107, 111, 116

    • credit risk and, 126

    • cumulative lender commitments of, 60t

    • eligibilty for, 53, 53t

    • GRA and, 52, 52n9, 52n10, 107n3, 116

    • interest rates by, 51

    • for LICs, 5–6, 47, 49–54, 51n3, 52t, 53t

    • misreporting framework for, 153

    • PRS and, 71

    • PSI and, 69

    • RAP and, 135

    • RCF and, 51–52, 51n5

    • reserve account coverage of, 62f

    • SDR interest rate and, 89n7, 93

    • SDRs and, 94–95

    • self-sustainability of, 81, 116

    • as self-sustaining, 61–62

    • terms of, 51–53

  • Poverty Reduction Strategy (PRS), 50–51, 53, 53n11, 71

  • PPP. See Purchasing-power-parity

  • Precautionary and Liquidity Line (PLL), 2, 5, 6, 31, 172

    • GRA and, 26, 28, 30

    • safeguards assessment of, 152

  • Precautionary balances, 127, 127n3, 127t, 145, 145n2, 171–72

  • Precautionary Credit Line (PCL), 5, 122

  • Preferred creditor status, of IMF, 142

  • Prescribed holders, 85, 172

  • PRGF. See Poverty Reduction and Growth Facility

  • PRGF-ESF. See Poverty Reduction and Growth Facility-Exogenous Shocks Facility

  • PRG-HIPC Trust. See Poverty Reduction and Growth-Heavily Indebted Poor Countries Trust

  • PRGT. See Poverty Reduction and Growth Facility; Poverty Reduction and Growth Trust

  • Program review, 172

  • Protracted arrears, 73, 132, 172

  • PRS. See Poverty Reduction Strategy

  • Prudential balance, 131

  • PSI. See Policy Support Instrument

  • Public goods, CEP and, 123

  • Purchase repurchase mechanisms, 23, 24–25, 172

  • Purchasing-power-parity (PPP), GDP and, 15

  • Quantitative performance criteria (QPCs), 33, 172

  • Quota and Governance Reform, by Board of Governors, 3–4

  • Quota and Voice Reforms of 2006 (Singapore Resolution), 18

  • Quota and Voice Reforms of 2008, 3, 18

  • Quotas, 172

    • ad hoc increases for, 16, 18, 18t

    • Articles of Agreement and, 14

    • assignments of, 6, 6n6, 14

    • Board of Governors and, 14, 15

    • borrowing and, 14n2

    • Bretton Woods Convention and, 14

    • burden sharing and, 143

    • changes in, 17t

    • commitment fees and, 110

    • compression factor for, 15, 15n3

    • currencies and, 14n2

    • Executive Board and, 14, 15

    • formula for, 14–15, 41

    • GAB and, 21

    • GDP and, 3n3, 15

    • general reviews for, 15, 16t

    • global financial crisis of 2007–2009 and, 5

    • liquidity and, 23n20

    • of member countries, 157–60

    • NAB and, 22

    • nonconcessional lending and, 13–19

    • payment procedures for, 40

    • recent reforms for, 18–19

    • RFI and, 30

    • RTP and, 42

    • SDR borrowing and, 102

    • SDR Department and, 86

    • SDRs and, 3–4, 8, 13–14, 14n1, 40

    • surcharges and, 110s, 119

    • voting power and, 3, 3n2, 14, 19n8

  • Quota subscriptions, 13, 14, 23, 36n41

  • RA. See Reserve Account

  • RAC. See Rapid-Access Component

  • RAP. See Rights Accumulation Program

  • Rapid-Access Component (RAC), 68

  • Rapid Credit Facility (RCF), 2, 30n30, 59, 152, 171, 172

    • concessional lending by, 48t, 49, 50f

    • ESF and, 68

    • PRGT and, 51–52, 51n5

    • RFI and, 52n6

  • Rapid Financing Instrument (RFI), 2, 5, 6, 30n30, 172

    • GRA and, 26, 28, 30

    • RCF and, 52n6

    • safeguards assessment of, 152

  • RCF. See Rapid Credit Facility

  • RCP, concessional lending by, 50

  • Reconstitution requirement, of SDR Department, 90n11

  • Remunerated reserve tranche position, 42, 92, 172–73

  • Remuneration

    • burden sharing and, 109n7

    • interest rate risk and, 131

    • SCA-1 and, 144n1

    • SDR interest rate and, 144n2

  • Repurchase policies, 33, 33n35, 33n36, 33n37

  • Reserve Account (RA), 61, 171

  • Reserve coverage ratio, 128

  • Reserve tranche position (RTP), 23n19, 24, 25, 26n25

    • balance of payments and, 130n5

    • of IMF, 130n5

    • liquidity risk and, 130

    • remunerated, 42, 92, 172–73

  • Resource Mobilization Plan (RMP), 26, 130, 173

  • Restitution sales, for gold, 44

  • Review of Conditionality of 2011, 43

  • RFI. See Rapid Financing Instrument

  • Rights Accumulation Program (RAP), 135, 173

  • Risk management

    • central bank safeguard assessments and, 137–39, 137f, 138n16, 139f

    • credit risk, 115, 125–28, 127t, 141, 146

    • exchange rate risk, 126, 131–32, 141

    • financial reporting and risk disclosure in, 140

    • by IMF, 8–9, 114–16, 125–55

    • income risk, 126, 131–32, 141

    • interest rate risk, 126, 131, 141

    • liquidity risk, 126, 128–31, 129f, 141

    • mitigation framework for, 125–32

    • operational risk, 116, 141

  • RMP. See Resource Mobilization Plan

  • RTP. See Reserve tranche position

  • Rules and Regulations, 112–13, 131

  • SAF. See Structural Adjustment Facility

  • Safeguard assessments, 173

    • of central banks, 137–39, 137f, 138n16, 139f

    • of IMF, 152

  • SBAs. See Stand-By Arrangements

  • SCA. See Special Contingent Account

  • SCA-1. See First Special Contingent Account

  • SCA-1/Deferred Charges Administered Account, 163

  • SCF. See Standby Credit Facility

  • SCT, concessional lending by, 49

  • SDA. See Special Disbursement Account

  • SDR basket

    • of China, 8, 87

    • composition criteria for, 98–99

    • currencies in, 86, 87, 88, 88f, 88t, 98–99, 100

    • currency amounts and, 100, 101

    • exchange rate risk and, 132

    • Executive Board and, 87–88, 98

    • Executive Directors and, 88

    • IA and, 112

    • interest rates and, 87

  • SDR Department, 173

    • arrears to, 148n1, 149

    • Articles of Agreement and, 85–86

    • assessment for, 85n1

    • balance sheet of, 95, 95n18, 95t

    • designation mechanism for, 105

    • GRA and, 107n3, 116

    • income of, 86n3

    • income statements of, 95, 95t

    • operation of, 91–95

    • quotas and, 86

    • reconstitution requirement of, 90n11

    • voting power and, 86

  • SDRs. See Special Drawing Rights

  • Service charges, 110

  • Sierra Leone, 135

  • SLAs. See Special Loan Accounts

  • SMP. See Staff-Monitored Program

  • Somalia, 135

  • South Africa, 44

  • Special charges (additional charges), 136, 136n13, 136n14

  • Special Contingent Account (SCA), 127

  • Special Disbursement Account (SDA), 61, 63–64, 64n30, 107n3, 132

    • currencies in, 37, 37n42

    • MDRI and, 65n31, 76

  • Special Drawing Rights (SDRs), 85–105, 173

    • allocations and cancellations of, 89–91, 90n10, 91f

    • arrears and, 91n12

    • Articles of Agreement amendments and, 8, 86, 91, 91n12

    • Articles of Agreement and, 87, 92

    • background and characteristics of, 85–86

    • basic rate of charge on, 117–18

    • BIS and, 95

    • Board of Governors and, 90, 96

    • borrowing, 59n22, 102

    • Bretton Woods Convention and, 96

    • burden sharing and, 144

    • circulation of, 93f

    • creation of, 96

    • currencies and, 24n22, 37n42, 86, 92

    • exchange rates and, 86, 96

    • Executive Board and, 86, 86n2, 87, 90

    • FCC and, 147

    • freely usable currency and, 87, 92n15, 98

    • FTP and, 128–30

    • GAB and, 19, 21n10

    • global financial crisis of 2007–2009 and, 5

    • gold and, 86n4, 96

    • GRA and, 24, 61n26, 85, 91, 92, 94f

    • IA and, 107n1

    • IMF and, 91–92

    • income from, 107

    • interest rate risk and, 131

    • interest rates of, 8, 59, 59n23, 85, 86, 89, 89n8, 90f, 93, 101, 109, 109f, 144, 144n2

    • Japan and, 89n9

    • liquidity and, 86, 90

    • liquidity risk and, 130

    • MDRI and, 65n32

    • of member countries, 157–60

    • NAB and, 22, 22n14

    • nonconcessional lending and, 13

    • prescribed holders and, 85

    • PRGT and, 94–95

    • purchase repurchase mechanisms and, 23

    • quotas and, 3–4, 8, 13–14, 14n1, 40

    • quota subscriptions and, 14, 23, 36n41

    • timeline for, 104

    • valuation of, 86–88, 97, 100

    • voting power and, 87n5

    • VTAs for, 86, 93n16, 103–4, 104n1

    • See also SDR basket; SDR Department

  • Special Loan Accounts (SLAs), 57–59, 171

  • Special Reserve, 127n3, 145

  • Special Subsidy Accounts (SSAs), 59, 171

  • SRF. See Supplemental Reserve Facility

  • SSAs. See Special Subsidy Accounts

  • Staff-Monitored Program (SMP), 135n11, 152, 173

  • Staff Retirement Plan, 140

  • Stand-By Arrangements (SBAs), 2, 6, 26, 28–29, 32f, 33, 50, 121

  • Standby Credit Facility (SCF), 2, 51, 59, 68, 171, 174

  • concessional lending by, 48t, 50, 50f

  • Strengthened Cooperative Strategy on Overdue Financial Obligations, 132

  • Structural Adjustment Facility (SAF), 47–49, 50f, 66

  • Subaccounts

    • for debt relief, 63

    • of IA, 112–16, 113f, 113t, 114n14, 114t, 115f, 131, 132

    • of PRG-HIPC, 172

  • Subsidy Accounts, of ENDA/EPCA, 67

  • Subsidy resources, for concessional lending, 60–61

  • Sudan, 132, 135

  • Supplemental Reserve Facility (SRF), 119

  • Supplementary Financing Facility Subsidy Account, 163

  • Surcharges, 110, 119–20, 120n2, 131

  • Surcharge to basic rate of charge, 174

  • Surveillance, 2, 110, 174

  • Switzerland, 163

  • TBRE. See Time Based Repurchase Expectations Policy

  • Technical Memorandum of Understanding (TMU), 33n33

  • TF. See Trust Fund

  • TIM. See Trade Integration Mechanism

  • Time Based Repurchase Expectations Policy (TBRE), 110

  • TMU. See Technical Memorandum of Understanding

  • Trade Integration Mechanism (TIM), 30

  • Tranche 1, 112

  • Tranche 2, 112–13

  • Transactions by agreement, 174

    • See also Voluntary trading arrangements

  • Transferability, of concessional lending, 60

  • Triffin dilemma, 96

  • Trust Fund (TF), 47, 50f, 66, 132

  • Trusts

    • for concessional lending, 77–78

    • See also specific trusts

  • Turkey, 3, 16, 18

  • UCT. See Upper credit tranche

  • Umbrella Accounts, 62, 63, 172

  • United Kingdom, 4

  • United States, 4, 44, 96

  • Upper credit tranche (UCT), 50, 50n2, 51, 174

  • Usable currency, 174

    • See also Freely usable currency

  • Voice and Participation amendments, 18

  • Voluntary trading arrangements (VTAs), 86, 92–95, 93n16, 103–4, 104n1

  • Voting power

    • of Board of Governors, 90

    • decision-making and, 10

    • Executive Board and, 10n2

    • at IMF, 3, 3n2

    • quotas and, 3, 3n2, 14, 19n8

    • recent reforms for, 18

    • for repurchase policies, 33n35

    • SDR Department and, 86

    • SDRs and, 87n5

    • for selected financial decisions, 161

  • VTAs. See Voluntary trading arrangements

  • World Bank, 10, 53n14, 73, 135

  • Zambia, 135

  • Zimbabwe, 53n13, 132


The legal authority of the IMF to act as an administrator of such resources derives from Article V, Section 2(b), which empowers it, if requested, to “perform financial and technical services, including the administration of resources contributed by members that are consistent with the purposes of the Fund.” The operations involved in the performance of such financial services cannot “be on the account of the Fund.”


Refer also to Box 2.4 “The Reserve Tranche Position” and Figure 2.4 “Members’ Financial Positions in the General Resources Account.”


As discussed in Chapter 2, additional considerations may arise when the credit is directed to the state treasury for budget financing.


In addition, a complete archive of the Annual Reports issued by the Executive Board is available on the IMF eLibrary at www.elibrary.imf.org


For web PDF files, visit www.imf.org; for other digital formats, visit www.elibrary.imf.org