The IMF has approved distribution of additional profits from gold sales as part of a strategy to support low-interest lending to poor countries.
The 2009–10 gold sales generated profits of SDR 6.85 billion ($10.5 billion), some SDR 2.45 billion above the amount envisaged for an endowment to reduce the IMF’s reliance on lending income to cover its operational expenses. An earlier distribution of SDR 0.7 billion ($1.1 billion) of these excess (or “windfall”) profits is helping generate subsidy resources for concessional lending to low-income countries during the crisis. The IMF has now taken a similar decision to distribute the remaining SDR 1.75 billion ($2.7 billion) as part of a strategy to generate additional financial resources for the Poverty Reduction and Growth Trust (PRGT), the IMF’s concessional lending vehicle.
looking beyond borders 