In July 2021, the executive board of the
International Monetary Fund (IMF) approved the Special Drawing Rights (SDRs) allocation Equivalent to USD 650 billion, to support the Economically vulnerable member nations’ battle
• it is the largest allocation in the IMF’s history, It would boost the liquidity and reserves of all IMF member countries and promote the Resilience and stability of the global economy.
• The SDR allocation would be completed by The end of August 2021 and it would allow Developing countries to immediately receive More than USD200 billion in support.
•The IMF will channel the SDRs from wealthier Members to poorer and more vulnerable Member countries to help their COVID-19 Recovery.
•As per the record of Johns Hopkins University, Deaths worldwide due to COVID-19 climbed to 4 million.
Note Similar to the current expansion, in 2009
IMF approved a USD250 billion expansion in SDR Reserves to recover from the 2008 global Financial crisis.
About International Monetary Fund (IME):
Headquarters – Washington, D.C., United States
MD Kristalina Georgieva
Member Countries– 190