IMF emergency lending after natural disasters
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The IMF provides emergency assistance to help member countries that cannot meet immediate financing needs arising from a major natural disaster without serious depletion of their foreign reserves.
The assistance is designed to be disbursed rapidly and is supported by policy advice and, in many cases, technical assistance. A member requesting emergency assistance is required to describe the general economic policies it proposes to follow. The IMF Executive Board then considers the request and policy proposals for approval. Typically, assistance is limited to 25 percent of the member's quota in the IMF, although amounts up to 50 percent of quota can be and have been provided in certain circumstances.
Emergency assistance loans are subject to the basic rate of charge (which is related to...
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