Appendix. Europe: IMF-Supported Arrangements1(As of April 12, 2011)
- International Monetary Fund. European Dept.
- Published Date:
- May 2011
|Country||IMF Loan Size, Approval Date||Key Objectives and Policy Actions||Additional Information|
|Ukraine||$16.4 billion Stand-by Arrangement, November 2008||November 2008 stand-by arrangement (SBA) was canceled and replaced by a new SBA with the new government in July 2010. Under the November 2008 SBA, $10.5 billion was disbursed.|
The first review of the new SBA arrangement was completed in December 2010. The February 2011 mission as part of the second review found that the economy performed better than expected in 2010. (www.imf.org/external/country/UKR/index.htm)
|$15.2 billion Stand-by Arrangement, July 2010|
|Iceland||$2.1 billion Stand-by Arrangement, November 2008||The fourth review was completed in January 2011. The February 2011 mission as part of the fifth review stated that the economy is recovering in 2011 and financial sector restructuring is moving forward. IMF staff is currently assessing the appropriate pace and timing for lifting capital controls. (www.imf.org/external/country/ISL/index.htm)|
|Latvia||$2.4 billion(€1.7 billion)Stand-by Arrangement, December 2008||In addition to financial assistance from the IMF, the program is heavily supported by the EU and a number of European countries.|
On completion of the second review in February 2010, the arrangement was extended to December 22, 2011.
The third review of the program was completed in July 2010.(www.imf.org/external/country/LVA/index.htm)
|Serbia||$0.5 billion Stand-by Arrangement, January 2009; augmented to $4.0 billion in May 2009||Since the original program was designed in late 2008, Serbia’s external and financial environment deteriorated substantially. In response, the authorities (1) raised fiscal deficit targets for 2009–10 while taking additional fiscal measures, (2) received commitments from main foreign parent banks that they would roll over their commitments to Serbia and keep their subsidiaries capitalized, and (3) requested additional financial support from international financial institutions and the EU. On completion of the first review in May 2009, the arrangement was extended, and the total financing was augmented.|
The seventh and final review was completed in April 2011. (www.imf.org/external/country/SRB/index.htm)
|Romania||$17.1 billion (€12.9 billion) Stand-by Arrangement, May 2009||Cushion the effects of the sharp drop in private capital inflows while implementing policy measures to address the external and fiscal imbalances and to strengthen the financial sector:||A sizeable financial support is also received from the EU.|
The seventh and final review was completed in March 2011. The authorities treated the associated tranche as precautionary.
With economic activity now stabilizing and the program having successfully ensured macroeconomic and financial stability under very difficult circumstances, the expiring SBA was replaced by a new 24-month precautionary SBA in the amount of $4.9 billion. The EU is also providing funds on a precautionary basis under the new program. (www.imf.org/external/country/ROU/index.htm)
|$4.9 billion (€3.5 billion) Stand-by Arrangement, March 2011|
|Poland||$20.6 billion Flexible Credit Line, May 2009||The Flexible Credit Line (FCL) is an instrument established for IMF member countries with very strong fundamentals, policies, and track records of implementation. Access to the FCL is not conditional on further performance criteria.||The arrangement for Poland, which has been kept precautionary, has helped stabilize financial conditions there, leaving room for accommodative macroeconomic policies and improving access to market financing. (www.imf.org/external/country/POL/index.htm)|
|$20.4 billion Flexible Credit Line, July 2010||July 2010 FCL serves as a successor arrangement to May 2009 FCL.|
|$30 billion Flexible Credit Line, January 2011||July 2010 FCL was cancelled and replaced by a new 2-year FCL arrangement approved in January 2011.|
|Bosnia and Herzegovina||$1.6 billion Stand-by Arrangement, July 2009||Safeguarding the currency board arrangement by a determined implementation of fiscal, income, and financial sector policies:||The second and third reviews were completed in October 2010. The November 2010 mission as part of the fourth review stated that the program is broadly on track, with all performance criteria and structural benchmarks being observed.|
Discussions will continue after the formation of a new government to complete this review. (www.imf.org/external/country/BIH/index.htm)
|Moldova||$0.6 billion Extended Credit Facility and Extended Fund Facility, January 2010||The second review was completed in April 2011. (www.imf.org/external/country/MDA/index.htm)|
|Kosovo||$140 million Stand-by Arrangement, July 2010||Achieving fiscal stabilization, while accommodating large infrastructure investments, and safeguarding financial sector stability:||Kosovo became the 186th member of the IMF on June 29, 2009.|
The March 2011 mission as part of the first review found that the economic recovery is on track amid robust growth and private sector credit. However, the review could not be concluded due to disagreement on the draft budget for 2011. (www.imf.org/external/country/UVK/index.htm)
|Greece||$39 billion (€30 billion) Stand-by Arrangement, May 2010||IMF financial assistance of €30 billion is in parallel with bilateral financial support of €80 billion available from euro area partners. The total amount of €110 billion will cover the expected public financing gap during the program’s period.|
The third review was completed in March 2011. (www.imf.org/external/country/GRC/index.htm)
|Ireland||$30.1 billion (€22.5 billion) Extended Fund Facility, December 2010||Targeting vulnerabilities in the banking system and aiming to restore the prospect of growth:||IMF financial assistance of €22.5 billion forms part of the substantial financial package amounting to €85 billion, of which the remaining funds comprise of supports from European partners and Ireland’s own contributions.|
The first and second review will be combined and held after the new government has taken office. (www.imf.org/external/country/IRL/index.htm)
|Macedonia||$640 million Precautionary Credit Line, January 2011||The Precautionary Credit Line (PCL) is a new IMF instrument established in the context of enhancing its lending tools to help provide effective crisis prevention. This is the first IMF’s commitment under PCL. The access to the credit line in the first year is up to $533 million.||In March 2011, changed circumstances brought by the early elections, including a delay in the planned Eurobond issuance, led the authorities to draw $300 million under the PCL arrangement.|
The PCL arrangement includes indicative targets on the fiscal deficit and on net international reserves. The first review is scheduled in July 2011. (www.imf.org/external/country/MKD/index.htm)
The main author of this appendix is Phakawa Jeasakul.