The IMF approved the general distribution program of Special Drawing Rights (SDR) to the amount of $250 billion
/IRBIS, August 14, 2009/ - The Board of International Monetary Fund (IMF) formally approved the general allocation of special drawing rights (SDRs) to the amount of 250 billion US dollars. This decision was taken on August 7, 2009 in order to ensure liquidity in the global economic system through the replenishment of foreign exchange reserves of government-members funds.
According to the report, a part of overall distribution, equivalent to $100 billion, will be given to emerging markets and developing countries, including low-income countries. These countries will receive more than $ 18 billion.
The total allocation of SDR will be made on August 28, 2009 by IMF members, which are participants of the Department of Special Drawing Rights (now - all 186 Member States Fund) in proportion to their existing quotas in the IMF. Under this distribution, each participating country will receive special drawing rights for a sum equivalent to 74 % of its quota.
"There was entered into force on Fourth Amendment to the IMF Articles of Agreement, providing for a special one-time allocation of SDRs. This is a special distribution of Member States to the IMF will take place on September 9, 2009, in 30 days after the date of entry into force of the Fourth Amendment, and improve relations cumulative SDR allocations to Member States for their quotas, based on a common rate control as provided in the amendment. The total amount of Special Drawing Rights, established under the special distribution is 21.5 billion SDR (about 33 billion U.S. dollars) ",- stated in the message.
From a date of the general and special distributions, the funds received by Member States under these special drawing rights allocations will be considered as part of their reserve assets. The IMF reports that some members might decide to sell all or part of special drawing rights other members in exchange for hard currency.
As a result of special and general distributions of the cumulative amount of SDR allocations to Member States will reach 204 billion SDRs (about $316 billion).
[2009-08-14]