IMF raises $320 billion to deal with euro zone debt crisis
19 Apr 2012
The International Monetary Fund yesterday said that it had raised $320 billion so far in a bid to boost its finances to deal with the euro zone debt crisis, with Poland and Switzerland joining the effort.
IMF managing director Christine Lagarde said she had received commitments of $34 billion yesterday, including $8 billion from Poland and "a substantial amount" from Switzerland.
"Ensuring that the Fund has sufficient resources to tackle crises and to promote global economic stability is in the interests of all our members," she said in a statement.
She is also hoping for $400 billion worth commitments from finance officials from around the globe, who are to meet this week in Washington under the combined auspices of the Group of 20 nations, the IMF and World Bank.
The issue took on a new urgency given increased borrowing costs in Spain and Italy that had reignited fears of the euro zone crisis flaring up again with the fallout jeopardising the global economic recovery.
The US had declined to sanction fresh funds, saying it had done what was required of it by ensuring dollar liquidity for banks in Europe, but it chose to back the fundraising effort yesterday.
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