## The Extended Fund Facility (EFF)

## Source details

**Canonical URL:** [The Extended Fund Facility (EFF)](https://www.imf.org/-/media/files/factsheets/english/2025/the-extended-fund-facility-eff2025-final.pdf)

## Other formats

- [Markdown version](/-/media/files/factsheets/english/2025/the-extended-fund-facility-eff2025-final.pdf.md)
- [Structured JSON version](/-/media/files/factsheets/english/2025/the-extended-fund-facility-eff2025-final.pdf.json)

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### Purpose
- The IMF's Extended Fund Facility (EFF) provides financial assistance to countries facing serious medium-term balance of payments problems because of structural weaknesses that require time to address.
- Support comprehensive programs with a focus on policies needed to correct structural imbalances over an extended period.
- Provide assistance to countries experiencing serious payment imbalances because of structural impediments or slow growth and an inherently weak balance-of-payments position.

### Eligibility
- All IMF member countries facing actual or potential external financing needs.
- Most often used by advanced and emerging market countries, but low-income countries sometimes use the EFF together with the Extended Credit Facility (ECF).

### Conditionality
- Countries’ policy commitments are expected to focus on structural reforms to address institutional or economic weaknesses, in addition to policies to maintain macroeconomic stability.
- Disbursements are conditional on the observance of quantitative performance criteria.
- Progress in implementing structural measures that are critical to achieving the objectives of the program is assessed in a holistic way, including via benchmarks.

### Review modalities
- Periodic reviews of policies and program implementation, as access to IMF resources occurs in tranches (phasing).
- The IMF’s Executive Board regularly assesses program performance and can adjust the program to adapt to economic developments.

### Terms
- Duration:
  - Typically approved for periods of 3 years but may be approved for periods as long as 4 years to implement deep and sustained structural reforms.
- Repayment:
  - Over 4½–10 years in 12 equal semiannual installments.
- Interest rate and charges:
  - The lending rate comprises:
    - The market-determined Special Drawing Rights (SDR) interest rate—which has a minimum floor of 5 basis points—and a margin (currently 60 basis points), together known as the basic rate of charge.
    - Surcharges, which depend on the amount and time that credit is outstanding:
      - A surcharge of 200 basis points is paid on the amount of credit outstanding above 300 percent of quota.
      - If credit remains above 300 percent of quota after 51 months, this surcharge rises to 275 basis points.
      - Surcharges are designed to discourage large and prolonged use of IMF resources.
  - Commitment fees:
    - Resources are subject to a commitment fee levied at the beginning of each 12-month period on amounts that could be drawn in the period:
      - 15 basis points for committed amounts up to 200 percent of quota,
      - 30 basis points on committed amounts above 200 percent and up to 600 percent of quota, and
      - 60 basis points on amounts exceeding 600 percent of quota.
    - Fees are refunded pro rata if amounts are drawn during the course of the relevant period. If a country borrows the entire amount, the fee is fully refunded.
  - Service charge:
    - A service charge of 50 basis points is applied on each amount drawn.

### Access
- Two types:
  - Normal access: 200 percent of quota for any 12-month period and a cumulative limit over the life of the arrangement net of repayments of 600 percent of quota.
  - Exceptional access: Decided on a case-by-case basis under the Exceptional Access Policy.
- EFFs generally are not formulated on a precautionary basis in anticipation of a future balance of payments problem.

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_Source: https://www.imf.org/-/media/files/factsheets/english/2025/the-extended-fund-facility-eff2025-final.pdf_