Poverty Reduction and Growth Trust—Review of Interest Rate Structure—Postponement

Poverty Reduction and Growth Trust—Review of Interest Rate Structure—Postponement
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Volume/Issue: Volume 2023 Issue 024
Publication date: June 2023
ISBN: 9798400244926
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Banks and Banking , Money and Monetary Policy , Public Policy - Social Services and Welfare , Political Economy , Concessional Financing , Interest Rate Structure , Low-Income Countries , Postponement , Poverty Reduction and Growth Trust , PRGT , 2024/25 Comprehensive PRGT Review , PRGT interest rate structure , PRGT interest rate mechanism , transparency policy , mechanism of the PRGT , PRGT interest rates , Poverty reduction strategy , SDR interest rate , Credit , Global

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Summary

This paper proposes to postpone the next review of the PRGT interest rate structure to end-July 2025, given the desirability to consider all policies regarding low-income country facilities—including those related to PRGT interest rates—at once in the context of 2024/25 Review of the Fund’s Concessional Facilities and Financing. As a result of this postponement, the interest rates on all PRGT credit would be kept at zero until the completion of the next review.

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