A possible IMF Pandemic Support Facility for emerging-market countries 

Matthew Fisher (former International Monetary Fund) and Adnan Mazarei (PIIE)

Policy Brief
20-11
July 2020
Photo Credit: 
REUTERS/Amanda Perobelli

As the International Monetary Fund (IMF) adapts its strategy to meet the challenges of the COVID-19 crisis, it should develop a new temporary lending instrument to assist emerging-market countries facing pandemic-related fiscal and balance of payments difficulties. A dedicated IMF Pandemic Support Facility would help meet the exceptional financing needs of emerging-market countries at a time of high uncertainty while providing more lenient repayment periods and also allow the Fund to be more flexible in its operations with minimum disruptions to its existing facilities.