Press Release: Zambia Accepts Article VIII Obligations
May 20, 2002
The government of Zambia has notified the International Monetary Fund (IMF) that it has accepted the obligations of Article VIII, Section 2, 3, and 4 of the IMF Articles of Agreement, with effect from April 19, 2002.
IMF members accepting the obligations of Article VIII undertake to refrain from imposing restrictions on the making of payments and transfers for current international transactions, or from engaging in discriminatory currency arrangements or multiple currency practices without IMF approval.
A total of 152 countries have now assumed Article VIII status.
By accepting the obligations of Article VIII, Zambia gives confidence to the international community that it will pursue economic policies that will make restrictions on the making of payments and transfers for current international transactions unnecessary, and will contribute to a multilateral payments system free of restrictions. Zambia maintains an exchange system which is one of the most liberal in Africa.
Zambia joined the fund on September 23, 1965. Its quota1 is SDR 489.10 million (about US$622 million). Its outstanding use of IMF financing currently totals SDR 873.43 million (about US$995 million).
1 A member's quota in the IMF determines, in particular, the amount of its subscription, its voting weight, its access to IMF financing, and its share of the allocation of SDRs.