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IMF Signs SDR 800 Million Borrowing Agreement with the Bank of Italy to Support Lending to Low-Income Countries

The International Monetary Fund (IMF), as Trustee of the Poverty Reduction and Growth Trust (PRGT), has signed a borrowing agreement with the Bank of Italy, through which Italy will provide the PRGT with up to SDR 800 million (about US$1.28 billion) in new loan resources for low-income countries.

This agreement, signed on April 18, 2011, expands the IMF’s capacity to help low-income countries by increasing the loan resources available for the recently reformed concessional lending facilities. Following the Executive Board’s approval of these reforms in July 2009, the Managing Director launched a fund-raising campaign seeking SDR 10.8 billion in new bilateral loan resources and SDR 200–400 million in bilateral contributions to subsidize the cost of concessional lending (see Press Release No. 09/268).



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