IMF board approves changes to cut borrowing costs by 36%

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IMF board approves changes to cut borrowing costs by 36%
International Monetary FundBorrowing Cost
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WASHINGTON - The International Monetary Fund approved reforms on Friday that will lower members' borrowing cost s by 36 percent and lift eight indebted countries out of the requirement to pay more to borrow money.The suite of changes agreed to by the IMF 's executive board include adjustments to the surcharges paid by countries with high levels of debt, like Ukraine and Argentina, the Washington-based institution announced in a statement.

They are: Benin, Ivory Coast, Gabon, Georgia, Moldova, Senegal, Sri Lanka, and Suriname.The IMF estimates that only 11 countries will meet the requirement to pay the surcharge once the new policy begins.Combined, the measures approved on Friday "will lower IMF borrowing costs for members by 36 percent, or about US$1.2 billion annually," the Fund's managing director, Kristalina Georgieva, said in a statement.

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International Monetary Fund Borrowing Cost

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