IMF board approves US$4.7 billion support programme for Bangladesh

The International Monetary Fund on Monday said its executive board approved a support programme for Bangladesh worth US$4.7 billion (RM19.53 billion) at current exchange rates, making the South Asian country the first to access its new Resilience and Sustainability Facility (RSF).

The funding includes US$3.3 billion under the IMF's Extended Credit Facility and Extended Fund Facility programmes and US$1.4 billion under the new RSF, which aims to help vulnerable middle-income countries and island states.

The board approval of a staff agreement reached last November allows the immediate disbursement of about US$476 million to Bangladesh, the IMF said.

The IMF said the 42-month borrowing package "will help preserve macroeconomic stability, protect the vulnerable and foster inclusive and green growth".

The Fund said it includes reforms focused on creating fiscal space to enable greater social and developmental spending, strengthening Bangladesh's financial sector, boosting fiscal and governance reforms and building climate resilience.

The funding from the RSF will help support the country's climate change adaptation and mitigation efforts, the IMF said.

- Reuters