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First with the News

Climate Change: $100bn Fund For Developing Countries Realised — IMF

June 22, 2023
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The International Monetary Fund (IMF) has stated that the $100 billion target by rich countries has been met, a fund aimed at assisting developing countries fight climate change and poverty.

Head of the institution, Kristalina Georgieva made this known on Thursday.

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“We meet the target, we do have the 100 billion,” Georgieva told reporters at a climate financing summit in Paris.

Before the summit kicked off, the IMF still needed about $40 billion to hit the target.

The plan, first announced in 2019, was for wealthier countries to recycle $100 billion in IMF Special Drawing Rights (SDRs) for vulnerable economies and developing nations.

SDRs are foreign exchange reserve assets awarded to countries based on how much they contribute to the IMF.

The idea, which some European countries resisted, was for wealthier countries to lend these foreign exchange reserve assets to the IMF, which could in turn reallocate them to developing economies.

Ahead of the summit, France and Japan announced that they would redeploy 30 per cent of their SDRs for this purpose.

Tags: breakingClimate changeHeritageheritage timesheritagetimesmediaInternational Monetary Fund (IMF)Kristalina Georgievalatestnewsthe heritage timesthtthtafricatop stories
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