Tag Archive | IMF

Greece formally asks for EU-IMF loans

Greece has formally asked for rescue loans by the European Union and International Monetary Fund (IMF) to be activated, aimed at helping the country recover from an economic crisis.

Under the plan, countries in the Eurozone will provide up to 30 billion euros in loans in the first year, while the IMF will contribute ten billion euros.

“The moment has come,” said Greek prime minister George Papandreou. He stated that it is “a national and pressing necessity for us to formally ask our partners for the activation of the support mechanism, which we jointly created in the European Union.” The prime minister added that “several days will pass before money can start being drawn.” Read More…

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22 billion € in financing to support Greece

A meeting in Brussels has produced a plan, supported by all 16 countries in the eurozone, to make available up to 22 billion euros in financing to support Greece, which is laden with debt.

Eurozone 2010

The deal would come into force only if Greece was unable to borrow money from commercial lenders, and would require approval from all 16 eurozone countries.

While no figures were included in the agreement, anonymous officials said the total package would be around 22 billion euros, of which European countries would provide two-thirds.

The remainder would be supplied by the International Monetary Fund. Read More…

Chinese economy overtakes Japan

The Chinese economy is likely to overtop the Japanese economy and become the second largest in the world.

Li Daokui, Director of the Center for China in the World Economy (CCWE) at the Tsinghua University, states that there is no doubt about what the numbers or the statistics show. China’s GDP growth was 9.6% in 2008.

Despite predictions about China’s GDP being at around 8.6% to 9%, it rose to 9.6%, as stated by the National Bureau of Statistics (NBS). The International Monetary Fund (IMF) projected previously that China will overtake Japan soon since the latter’s GDP dropped this year. Read More…

Protests as IMF and World Bank meet

Large clashes erupted in Istanbul, Turkey on Tuesday between protesters and security forces, near the annual meetings of the International Monetary Fund (IMF) and the World Bank. The protests came as the head of the IMF warned policymakers from 186 countries of social upheaval as the world economic crisis continues.

Demonstrators – chanting against the World Bank and IMF – marched to Taksim Square, in the heart of Istanbul. The protests drew several thousand people – mostly leftists, anti-globalisation groups, liberal democrats and trade unionists. Analysts say that the IMF and World Bank do not have a good reputation among many people in Turkey, because they have been associated with austerity programs and hardship.

Monday’s announcement by the Turkish Prime Minister Recep Tayyip Erdogan that his government is close to signing a new agreement with the IMF made some demonstrators angry. “We are angry, but we know that we are right. We want just to protect our rights – and for this, we are here,” said one man. Read More…

Istanbul to host 2009 IMF meetings

The 2009 Annual Meetings of the Boards of Governors of the World Bank Group and the IMF will be held in Istanbul, Turkey today and tomorrow.

The IMF and World Bank annual meetings which is held in every October with participation of finance ministers, central bankers, and other top economists of 186 member countries.

These meetings is held outside Washington, D.C. in every three years. Turkey will host the meetings for a second time. It was the host country for the meetings in 1955. Read More…

IMF prepares to help Hungary and Ukraine

The International Monetary Fund (IMF) is preparing a series of loans to both Hungary and Ukraine as financial problems are hitting the two countries. Hungary has already received a 5 billion credit line from the European Central Bank (ECB). Ukraine is seeking a loan of up to US$14 billion.

The credit line to Hungary will be used to cover banks’ shortage of euros. Hungary has a severe debt problem with them posting an account deficit of €5.3 billion or 4.9% of GDP this year. As a result of this, Hungary is unable to find suitable credit to store up its supply of euros. Read More…