IMF Executive Board Approves Renewal of Standing Borrowing ArrangementsPress Release No. 07/270
November 20, 2007
The Executive Board of the International Monetary Fund (IMF) has approved the renewal of the New Arrangements to Borrow (NAB) and the General Arrangements to Borrow (GAB) on a lapse of time basis, effective November 15, 2007.
The NAB and GAB are credit arrangements between the IMF and a group of members and institutions to provide supplementary resources of up to SDR 34 billion (about US$54 billion) to the IMF to forestall or cope with an impairment of the international monetary system or to deal with an exceptional situation that poses a threat to the stability of that system.
The NAB entered into effect on November 17, 1998 (see Press Release No. 98/57), and was first renewed in 2002 for a period of five years from November 17, 2003 (see Press Release No. 02/50). This second renewal of the NAB is for a further period of five years from November 17, 2008.
The GAB was established in 1962, and has been renewed every four or five years, most recently in 2002 for a period of five years from December 26, 2003 (see Press Release No. 02/50). This tenth renewal of the GAB is for a further period of five years from December 26, 2008.
For additional background see: "IMF Borrowing Arrangements: GAB and NAB" at http://www.imf.org/external/np/exr/facts/gabnab.htm