The International Monetary Fund (IMF) has been working with Venezuela to address the humanitarian needs arising from the recent earthquakes. IMF Managing Director Kristalina Georgieva spoke with Venezuela’s Acting President Delcy Rodriguez about using the country’s $350 million reserve tranche of IMF Special Drawing Rights (SDRs) assets to support relief efforts.
Earthquake Relief Efforts
The June 24 earthquakes have had a devastating impact on Venezuela, resulting in over 3,800 deaths, nearly 17,000 injuries, and leaving nearly 18,000 people homeless. The IMF has been re-engaging with Venezuela since the U.S. ousted former President Nicolas Maduro in January. However, the country is far from qualifying for an IMF loan program due to its complex debt restructuring needs.
SDRs are the IMF’s reserve assets that countries hold at the fund, based on their shareholding. They are backed by dollars, euros, yen, sterling, and yuan. The IMF has stated that Venezuela’s SDR reserve fund can be mobilized quickly to help address urgent humanitarian needs arising from the disaster.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
