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UK contributes £150 million to IMF Catastrophe Relief Fund for COVID-19

Responding to the economic challenges of coronavirus, the Government of the United Kingdom on Wednesday contributed £150 million to the International Monetary Fund’s (IMF) Catastrophe and Containment Relief Trust (CCRT).

The UK’s contribution will take two forms: a direct grant of £75 million to the trust, and another £75-million from its budget contingent on demand.

In turn, IMF Managing Director Kristalina Georgieva acknowledged the UK’s budgetary allocation to address the challenges of COVID-19.

“I welcome the economic and fiscal measures announced in the UK Government’s budget statement to address the economic impact of the coronavirus epidemic. The coordinated monetary and fiscal policy measures will help to alleviate the health challenges and support households and businesses to bridge through the economic challenges facing the country,” she said.

More support needed

Georgieva also noted her appreciation for the UK’s donation to the CCRT while calling on other member countries of the International Monetary and Financial Committee (IMFC) to follow suit.

“The coordinated monetary and fiscal policy measures will help to alleviate the health challenges and support households and businesses to bridge through the economic challenges facing the country.”

— Kristalina Georgieva, managing director, International Monetary Fund

“I urge other member countries to follow the UK’s leadership in contributing to the CCRT. By working together, we can overcome the global challenge facing us and restore growth and prosperity for all.”

Newly selected International Monetary Fund (IMF) Managing Director Kristalina Georgieva speaks at a press conference at the IMF headquarters on September 25, 2019, in Washington, DC, USA. (Photo: Eric BARADAT/AFP)

Through the CCRT, the IMF provides debt relief to the poorest and most vulnerable countries dealing with crises including natural and public health disasters.

In fact, just last week the IMF managing director called on the international community to help replenish the CCRT, which had only US$200 million available for the world’s poorest countries.