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Zimbabwe declared ineligible to use IMF resources

Zimbabwe declared ineligible to use IMF resources

The International Monetary Fund (IMF) has declared Zimbabwe ineligible to use the IMF's general resources in view of the country's late repayments of financial obligations to the institution.

In taking its decision, the IMF's Executive Board urged the Zimbabwean authorities to make full and prompt settlement of the country's overdue financial obligations.

In a parallel move taken by the agency in response to overdue obligations, the IMF also announced on Tuesday, that Zimbabwe has been removed from the list of countries eligible to borrow resources under the Poverty Reduction and Growth Facility. According to the IMF, Zimbabwe owed about $53 million to the IMF's General Department and about $29 million to the Trust Facility by the end of August.

The Executive Board also urged the Zimbabwean authorities to adopt the economic and financial policies needed to enable Zimbabwe to achieve economic recovery as soon as possible, and indicated that the Fund stood ready to cooperate with the authorities in support of their efforts to adopt and implement a comprehensive economic recovery programme.