WASHINGTON—IMF chief Kristalina Georgieva on Wednesday won the endorsement of the Group of 20 major economies for a new trust that will allow rich IMF members to donate their share of newly created emergency reserves to a broader range of countries in need. G20 finance officials backed the new Resilience and Sustainability Trust (RST) in their communique, and called on the International Monetary Fund and World Bank to “collaborate closely” to develop and implement financing under the new trust. Treasury Secretary Janet Yellen also backed efforts to channel the reserves, known as Special Drawing Rights (SDRs), and “rapid establishment” of the new trust, the U.S. Treasury said in a statement after Yellen met with G7 finance officials. The RST will allow the IMF members to lend or donate their share of the IMF’s $650 billion in new SDRs to offer long-term financing to small island states and vulnerable middle-income countries, …
G20 Backs IMF Chief’s New Trust to Reach Broader Range of Countries in Need
October 14, 2021
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