- The Executive Board of the International Monetary Fund (IMF) has completed the third review of Burundi's economic performance under the Extended Credit Facility (ECF) arrangement. The completion of the review was on a lapse of time basis, effective February 10, 2010, and enabled the immediate disbursement of an amount equivalent to SDR 6.6 million (about US$10.1 million) under the arrangement.
This will bring total disbursements under the arrangement to SDR 26.4 million (about US$40.5 million), the IMF has said.
“In a difficult post-conflict environment, performance under the ECF-supported programme was satisfactory. Burundi met all of its quantitative performance criteria and structural reforms are on track. Most monetary and fiscal reforms have progressed well, and steady progress has been made in implementing key structural reforms,” said the IMF in a statement.
The PRGF arrangement with Burundi was approved on 7 July, 2008 for an amount equivalent to SDR 46.2 million (about US$71 million).
ECF-supported programmes are based on country-owned poverty reduction strategies adopted in a participatory process involving civil society and development partners and articulated in the Poverty Reduction Strategy Paper (PRSP). This is intended to ensure that programmes are consistent with a comprehensive framework for macroeconomic, structural, and social policies to foster growth and reduce poverty.
Burundi, which became a member of the IMF on 28 September, 1963, has a Fund quota of SDR 77million (about US$118 million).
The Extended Credit Facility (ECF) has replaced the Poverty Reduction and Growth Facility (PRGF) as the Fund’s main tool for medium-term financial support to low-income countries by providing a higher level of access to financing, more concessional terms, enhanced flexibility in program design features, and more focused streamlined conditionality. Financing under the ECF currently carries a zero interest rate, with a grace period of 5½ years, and a final maturity of 10 years. The Fund reviews the level of interest rates for all concessional facilities every two years.
The Executive Board takes decisions under its lapse of time procedures when it is agreed by the Board that a proposal can be considered without convening formal discussions.
afrol News - It is called "financial inclusion", and it is a key government policy in Rwanda. The goal is that, by 2020, 90 percent of the population is to have and actively use bank accounts. And in only four years, financial inclusion has doubled in Rwanda.
afrol News - The UN's humanitarian agencies now warn about a devastating famine in Sudan and especially in South Sudan, where the situation is said to be "imploding". Relief officials are appealing to donors to urgently fund life-saving activities in the two countries.
afrol News - Fear is spreading all over West Africa after the health ministry in Guinea confirmed the first Ebola outbreak in this part of Africa. According to official numbers, at least 86 are infected and 59 are dead as a result of this very contagious disease.
afrol News - It is already a crime being homosexual in Ethiopia, but parliament is now making sure the anti-gay laws will be applied in practical life. No pardoning of gays will be allowed in future, but activist fear this only is a signal of further repression being prepared.
afrol News / Africa Renewal - Ethiopia's ambitious plan to build a US$ 4.2 billion dam in the Benishangul-Gumuz region, 40 km from its border with Sudan, is expected to provide 6,000 megawatts of electricity, enough for its population plus some excess it can sell to neighbouring countries.