Guinea Gets $75 Million Loan
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The IMF's Executive Board has approved a $75 million three-year arrangement under the Poverty Reduction and Growth Facility (PRGF) for the West African country of Guinea in support of the government's economic program. The Board also approved the disbursement of $7.6 million in interim assistance under the enhanced Heavily Indebted Poor Countries (HIPC) Initiative.
The PRGF is the IMF's concessional facility for low-income countries. Loans carry an annual interest rate of 0.5 percent and are repayable over 10 years with a 5½-year grace period on principal payments.
*The Guinean government has implemented, since March 2007, an impressive policy shift toward macroeconomic stabilization, reversing the deterioration in economic performance and governance that occurred in 2006. This shift has already contributed to rapid disinflation and the appreciation of the Guinean franc. Continued solid policy performance will promote economic growth and help improve Guinea's external situation," said IMF Deputy Managing Director Murilo Portugal.
*The authorities' program of economic and financial policies aims to further stabilize the economy and strengthen Guinea's external position. This will entail the...
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