Using the new IMF Special Drawing Rights for larger purposes: Guaranteeing ‘pandemic recovery bonds’
BY EUGENIO DÍAZ-BONILLA
International Monetary Fund (IMF) members and staff must be congratulated for the much-needed allocation of Special Drawing Rights ($650 billion), issued in August, to help individual countries and the global economy overcome impacts of the COVID-19 pandemic. IMF Managing Director Kristalina Georgieva argued that it was crucial “that these SDRs are used as effectively as possible … and with as much as possible going to countries most in need.” She outlined ways to make the most of the new allocation. One, of course, is that recipient countries use their allocation prudently to support their economies and step up the fight against COVID-19.
Photo credit: European Union/S. Billy