IMF says board approved new trust to aid low-income, vulnerable middle-income countries

The International Monetary Fund said its executive board on Wednesday approved the creation of a new facility to help low-income and vulnerable middle-income countries deal with longer-term challenges such as climate change and pandemics.

IMF Managing Director Kristalina Georgieva announced approval of the Resilience and Sustainability Trust in a statement after the board meeting, and said it would take effect from May 1.

She said the trust would amplify the impact of last year's $650 billion allocation of IMF Special Drawing Rights by allowing richer members to channel their emergency reserves to countries where the needs are greatest. The target was to build a trust of at least $45 billion, she said.