## 2020 Borrowing Agreement between the Oesterreichische Nationalbank and the IMF

## Source details

**Canonical URL:** [2020 Borrowing Agreement between the Oesterreichische Nationalbank and the IMF](https://www.imf.org/-/media/files/news/press-release/2021/pr214/pr214-signed-austria-2020-borrowing-agreements.pdf)

## Other formats

- [Markdown version](/-/media/files/news/press-release/2021/pr214/pr214-signed-austria-2020-borrowing-agreements.pdf.md)
- [Structured JSON version](/-/media/files/news/press-release/2021/pr214/pr214-signed-austria-2020-borrowing-agreements.pdf.json)

---

### Purposes and principal amounts
- Oesterreichische Nationalbank (the “OeNB”) agrees to lend to the Fund an SDR-denominated amount up to the equivalent of EUR 6,130 million (the “Loan Amount”).
- Upon effectiveness of the increase in Austria’s credit arrangement under the Fund’s New Arrangements to Borrow (the “NAB”) as part of the NAB Reform (Decision No. 16645-(20/5), adopted January 16, 2020), the Loan Amount will be automatically reduced to an SDR-denominated amount up to the equivalent of EUR 2,641 million (the “Rolled Back Loan Amount”).
- Agreement basis: Article VII, Section 1(i) of the Fund’s Articles of Agreement; to be considered in light of the Guidelines for Borrowing by the Fund (borrowing as a temporary supplement to quota resources).
- Terminology:
  - This agreement is a “2020 Borrowing Agreement”.
  - Bilateral borrowing agreements under August 2016 are “2016 Borrowing Agreements”.
  - Collectively: the “Bilateral Borrowing Agreements”.

- Key statistics:
  - EUR 6,130 million (Loan Amount)
  - EUR 2,641 million (Rolled Back Loan Amount)
  - Decision No. 16645-(20/5), adopted January 16, 2020

### Term, activation, deactivation, and permitted uses
- Term and extension:
  - Term ends on December 31,2023.
  - Fund may extend term for one further year through December 31,2024 by Executive Board decision, considering the Fund’s Overall liquidity Situation and borrowing requirements, and with OeNB consent.

- Activation conditions (use):
  - 2020 Borrowing Agreements may be activated only after Managing Director notifies Executive Board that the modified Forward Commitment Capacity (modified FCC, Decision No. 14906-(11/38), adopted April 20, 2011, taking into account all available uncommitted NAB resources) is below SDR 100 billion (the “activation threshold”).
  - Managing Director shall not notify unless:
    - (i) the NAB is activated at the time of notification, or there are no available uncommitted NAB resources at that time; and
    - (ii) activation has been approved by creditors representing at least 85 percent of total credit amount committed under the 2020 Borrowing Agreements by creditors eligible to vote on such activation.
  - Managing Director may approach creditors before modified FCC falls below activation threshold in extraordinary circumstances.

- Deactivation and reactivation:
  - 2020 Borrowing Agreements deactivated automatically whenever NAB is no longer activated, unless no uncommitted NAB resources exist.
  - Deactivated if Managing Director notifies Executive Board that modified FCC (excluding Bilateral Borrowing Agreement amounts) has risen above activation threshold and:
    - (i) Executive Board determines activation no longer necessary; or
    - (ii) six months elapse since Managing Director’s notification and modified FCC (excluding Bilateral Borrowing Agreement amounts) has not fallen below activation threshold.
  - If modified FCC later falls below activation threshold after deactivation, paragraph 2(b) provisions apply.

- Permitted uses while activated:
  - (i) use resources under this agreement to fund any outright purchases from the GRA during the term; and
  - (ii) approve commitments of GRA resources whose purchases could be funded by drawings under this agreement at any time during the period of such commitments, including after expiration of term or during any period when agreement is not activated; commitments covered under (ii) include any commitment whose approval caused activation threshold to be reached.
  - After activation, resources may be used to fund early repayment of Claims under other 2020 Borrowing Agreements if relevant creditors request early repayment per paragraph 8; drawings to fund such early repayment may be made while Claims under 2020 Borrowing Agreements remain outstanding, including after expiration of term or during periods when agreement is not activated.

- Allocation objective:
  - Drawings shall be made with the goal of achieving over time broadly balanced positions among creditors under all Bilateral Borrowing Agreements relative to their commitments.

- Key statistics:
  - SDR 100 billion (activation threshold)
  - 85 percent (creditor approval threshold for activation)
  - December 31,2023 (term end)
  - December 31,2024 (possible one-year extension)

### Estimates, notices, and limits on drawings
- Estimates and plan inclusion:
  - Prior to each plan period for use of bilateral borrowed resources, Fund shall provide OeNB best estimates of expected drawings for the forthcoming period and revised estimates as warranted.
  - OeNB shall not be included in periodic plan and no drawings made if Austria is not included and not proposed to be included in Financial Transactions Plan for transfers of its currency.
  - No drawings if OeNB was included but at time of drawing Austria’s currency is not being used in transfers under the Financial Transactions Plan due to Austria’s balance of payments and reserve Position.
  - If Austria was not included at vote on activation but subsequently included, drawings may be made to fund purchases and commitments made during activation unless OeNB notifies Fund it does not wish to be drawn upon.

- Notice requirements for drawings:
  - Fund shall give OeNB at least five business days’ (Vienna) notice of intention to draw and provide payment instructions at least two business days (Fund) prior to the value date by rapid authenticated means (e.g., SWIFT).
  - Exceptional circumstances: if not possible to provide five business days’ (Vienna) notice, notification shall be at least three business days (Vienna) in advance; OeNB to make best efforts to meet call.

### Evidence of indebtedness, maturity, and repayment mechanics
- Evidence of indebtedness:
  - Outstanding drawings included in Statements of Austria’s position in the Fund published monthly.
  - At OeNB request, Fund shall issue non-negotiable Instruments evidencing indebtedness under this agreement.
  - Upon repayment of instrument amount and all accrued interest, instrument returned to Fund for cancellation; if partial repayment, instrument returned and new instrument issued for remainder with same maturity date.

- Maturity:
  - Except as provided in paragraph 5 and paragraph 8, each drawing shall have maturity date of three months from drawing date.
  - Fund may elect to extend maturity by additional periods of three months after initial maturity; such extensions are automatically deemed elected for all outstanding drawings unless Fund notifies OeNB at least five business days (Fund) before a maturity date that it does not elect to extend a particular drawing or portion.

- Limits on extensions:
  - (i) maturity date of any drawing to fund purchases from the GRA shall not be extended later than the tenth anniversary of the date of such drawing; and
  - (ii) maturity date for drawings to fund early repayments of other creditors’ Claims per paragraph 2(e) shall be a single common maturity date that is the longest remaining maximum maturity of any Claim for which early repayment requested or the tenth anniversary of the drawing date, whichever is earlier.

- Repayment and early repayment:
  - Fund shall repay principal amount on applicable maturity date.
  - After consultation with OeNB, Fund may make early repayment in part or full prior to maturity with at least five business days (Fund) notice by rapid authenticated means.
  - Repayments do not restore pro tanto the amount that can be drawn; extension of maturity does not reduce the amount that can be drawn.
  - If maturity date not a business day at payment place, payment date is next business day there; interest accrues up to payment date.

### Rate of interest
- Each drawing bears interest at the SDR interest rate established by the Fund pursuant to Article XX, Section 3 of the Fund’s Articles of Agreement.
- If Fund pays an interest rate higher than SDR interest rate on outstanding balances from any other comparable borrowing effected pursuant to Article VII, Section 1(i), and such higher rate remains in effect, interest payable on drawings under this agreement shall be equivalent to the interest rate paid by the Fund on such other comparable borrowing.
- Interest amount calculated on outstanding amount of drawing; interest accrues daily and is paid promptly after each July 31, October 31, January 31, and April 30.

### Denomination, media and modalities of drawings and payments
- Denomination and payment mechanics:
  - Amount of each drawing and corresponding repayment denominated in SDRs.
  - Unless otherwise agreed, OeNB shall pay amount of each drawing by transfer of the SDR equivalent amount of euro to Fund’s account at designated depository of Austria on the value date specified in Fund’s notice.
  - For drawings under paragraph 2(e), OeNB shall ensure that balances drawn that are not balances of a freely usable currency can be exchanged for a freely usable currency of its choice; for balances that are freely usable currency, OeNB shall collaborate with Fund and other members to enable exchange for another freely usable currency.

- Currencies of repayment and interest:
  - Except as provided in paragraph 8, repayment of principal shall be made, as determined by Fund, in:
    - the currency borrowed whenever feasible,
    - in euro,
    - in special drawing rights (provided it does not increase Austria’s SDR holdings above limit under Article XIX, Section 4 unless Austria agrees),
    - in freely usable currencies,
    - or with OeNB agreement in other currencies included in Fund's Financial Transactions Plan for transfers.
  - Interest payments normally in SDRs; Fund and OeNB may agree interest payments in euro.
  - Payment destinations:
    - Euro payments to an account specified by OeNB.
    - SDR payments by crediting Austria’s account in the Special Drawing Rights Department.
    - Payments in any other currency to account specified by OeNB.

### Early repayment at request of the OeNB
- OeNB may request early repayment at face value of all or part of outstanding drawings if:
  - (i) OeNB represents Austria’s balance of payments and reserve position justifies such repayment; and
  - (ii) Fund, giving that representation the overwhelming benefit of any doubt, determines there is a need for the early repayment as requested in light of Austria’s balance of payments and reserve position.
- After consultation with OeNB, Fund may make repayments pursuant to this paragraph in SDRs or a freely usable currency as determined by the Fund or, with OeNB agreement, in currencies of other members included in Fund’s Financial Transactions Plan for transfers.

### Transferability and permitted transferees
- General rule:
  - OeNB may not transfer obligations under this agreement or Claims resulting from outstanding drawings except with prior consent of the Fund and on terms the Fund may approve, except as provided in subparagraphs (b)–(h).

- Permitted transfers:
  - OeNB may transfer at any time all or part of any Claim to:
    - any member of the Fund,
    - the central bank or other fiscal agency designated by any member for Article V, Section 1 purposes (“other fiscal agency”),
    - any official entity prescribed as a holder of SDRs pursuant to Article XVII, Section 3.

- Conditions on transferee and transfer mechanics:
  - Transferee assumes OeNB liability re paragraph 5(a) extension of maturity for drawings related to transferred Claim.
  - Transferred Claims held on same terms except:
    - (i) transferee acquires right to request early repayment under paragraph 8 only if it is a member or central bank/other fiscal agency of a member and at time of transfer the member’s balance of payments and reserve Position is considered sufficiently strong in Fund opinion such that its currency is used in transfers under the Financial Transactions Plan;
    - (ii) if transferee is a member or its central bank/fiscal agency, references to euro in paragraph 7 refer to the currency of the relevant member; otherwise euro refers to a freely usable currency determined by Fund;
    - (iii) payments related to transferred Claim made to account specified by transferee;
    - (iv) references to business days (Vienna) deemed to refer to business days where transferee is situated.
  - Price of transferred Claim as agreed between OeNB and transferee.
  - OeNB shall promptly notify Fund of Claim transferred, transferee name, amount transferred, agreed price, and value date.
  - Transfer reflected in Fund records if in accordance with terms and conditions of paragraph 9; effective as of agreed value date.
  - If Claim transferred during quarterly period as described in Paragraph 6(b), Fund shall pay interest to transferee on amount transferred for whole of that period.
  - Fund shall assist in seeking to arrange transfers if requested.

### Exchange rates and euro value fixation for limits
- Exchange rate determination:
  - Unless otherwise agreed, all drawings, exchanges, and payments of principal and interest shall be made at exchange rates for relevant currencies in terms of the SDR established pursuant to Article XIX, Section 7(a) of the Fund's Articles of Agreement and Fund rules for the second business day of the Fund before the value date of the transfer, exchange or payment.
  - If this exchange rate determination date is not a business day in Vienna, such date shall be the last preceding business day of the Fund that is also a business day in Vienna.

- Euro value fixation for limits:
  - For applying limit on drawings as specified in paragraphs 1(a), 15(c) and 15(e), the euro value of each SDR-denominated drawing shall be determined and permanently fixed on the value date of the drawing based on the euro/SDR exchange rate established pursuant to Article XIX, Section 7(a) and Fund rules for the second business day of the Fund before the value date of the drawing.
  - If this exchange rate determination date is not a business day in Vienna, such date shall be the last preceding business day of the Fund that is also a business day in Vienna.

### Changes in method of valuation of the SDR; non-subordination; settlement; cooperation
- Changes in Method of Valuation of SDR:
  - If the Fund changes the method of valuing the SDR, all transfers, exchanges and payments of principal and Interest made two or more business days of the Fund after the effective date ofthe change shall be made on the basis ofthe new method of valuation.

- Non-Subordination of Claims:
  - The Fund agrees that it will not take any action that would have the effect of making the OeNB’s Claims on the Fund resulting from outstanding drawings under this agreement subordinate in any way to Claims on the Fund resulting from any other borrowing effected pursuant to Article VII, Section 1 (I) of the Fund’s Articles of Agreement.

- Settlement of Questions:
  - Any question arising under this agreement shall be settled by mutual agreement between the OeNB and the Fund.

- Cooperation with the Fund:
  - The OeNB Stands ready to cooperate with the Fund in the spirit of IMFC/G-20 commitments as needed and appropriate.

### Transitional arrangements (interaction with 2016 Borrowing Agreement and NAB)
- (a) Regardless of whether this agreement is activated or not, the Fund:
  - (i) subject to Paragraph 15(b) below, shall make drawings underthis agreement to repay any outstanding Claims under the OeNB’s 2016 Borrowing Agreement, and
  - (ii) may make drawings under this agreement to fund purchases under commitments approved by the Fund during an activation of the 2016 Borrowing Agreements or to fund early repayment of Claims under other 2016 Borrowing Agreements in case the creditor represents a balance of payments need; provided that notwithstanding paragraph 5(a) of this agreement the maximum maturity date of the Claim from the repayment herein shall be the residual maximum maturity date of the Claim that is repaid with drawings underthis agreement; and provided furtherthat any Claims underthis agreement that result from the repayment herein shall be considered Claims under the 2016 Borrowing Agreements for purposes offunding the early repayment of these Claims in case of balance of payments need in accordance with the 2016 Borrowing Agreements, and for purposes of special calls under paragraph 23 of the Fund’s Decision No. 16645-(20/5), adopted January 16, 2020.

- (b) To the extent that Claims under the OeNB’s 2016 Borrowing Agreement or this agreement are outstanding when the increase in Austria's NAB credit arrangement becomes effective, the OeNB shall be deemed to request, on behalf of Austria, in accordance with paragraph 23 of the Fund’s Decision No. 11428-(97/6), adopted January 27, 1997 on the NAB, as amended, that the Managing Director make calls under Austria’s NAB credit arrangement up to the maximum available amount, taking into account the Fund’s need for maintaining Prudential balances, to fund the repayment of such Claims; provided that if the increase in Austria’s NAB credit arrangement and this agreement enter into effect at the same time, the repayment of the OeNB’s outstanding Claims under the OeNB’s 2016 Borrowing Agreement shall be funded first with calls under Austria’s NAB credit arrangement before drawings are made under this agreement pursuantto paragraph 15(a) above. Notwithstanding paragraph 5(d) above, repayments of Claims resulting from drawings under this agreement in accordance with this paragraph 15(b) shall restore pro tanto the amount that can be drawn under this agreement.

- (c) If following the repayment of outstanding Claims under the OeNB’s 2016 Borrowing Agreement and this agreement as provided in paragraph 15(b) above, the OeNB’s outstanding Claims under these agreements remain in excess ofthe Rolled Back Loan Amount as calculated pursuant to paragraph 10(b), the Fund shall repay any outstanding Claims under the OeNB’s 2016 Borrowing Agreement and this agreement in excess ofthe Rolled Back Loan Amount; provided that Claims with shorter remaining maximum maturities shall be repaid before those with longer remaining maximum maturities.

- (d) After the entry into force of this agreement, the Fund may make no further drawing under the OeNB’s 2016 Borrowing Agreement.

- (e) No drawing under this agreement shall be made that would cause the cumulative amount drawn under both this agreement and the 2016 Borrowing Agreement between the OeNB and the Fund, at the time of such drawing, to (i) exceed the Lean Amount prior to the effectiveness of the increase in Austria’s NAB credit arrangement, or (ii) exceed the Rolled Back Lean Amount upon and after the effectiveness of the increase in Austria’s NAB credit arrangement, as calculated pursuant to paragraph 10(b); provided that drawings beyond the Rolled Back Lean Amount under (ii) herein are authorized, if within the same day of these drawings any resulting Claim that would exceed the Rolled Back Loan Amount is repaid with a special call under Austria’s NAB credit arrangement, and the OeNB hereby requests, on behalf of Austria, that the Managing Director make such calls to fund the repayment in accordance with Paragraph 23 of the Fund’s Decision No. 11428-(97/6), adopted January 27, 1997 on the NAB, as amended.

### Final provisions and execution
- Final Provisions:
  - (a) This agreement may be executed in duplicate counterparts, each of which shall be deemed an original and both of which together shall constitute but one and the same Instrument.
  - (b) This agreement shall become effective on the date last signed below or on the date on which Austria provides the concurrence that is required under Article VII, Section 1 (i) of the Fund’s Articles of Agreement for Fund borrowing of euro from the OeNB, or on January 1, 2021, whichever is later.

- Signatures / Execution Dates (as provided):
  - For the Oesterreichische Nationalbank:
    - Governor
    - Date
    - JS.q. 20^0
    - Date
  - For the International Monetary Fund:
    - Kristalina Georgieva
    - Managing Director
    - Date
  - For the Oesterreichische Nationalbank:
    - Robert Holzmann, Governor
    - Gottfried Haber, Vice Governor
  - For the International Monetary Fund:
    - Kristalina Georgieva, Managing Director
  - Date: 09/29/2020

*Source: pr214-signed-austria-2020-borrowing-agreements*

### 1. Purposes and Amounts.

### 1. Purposes and Amounts

### Purposes and principal amounts
- Oesterreichische Nationalbank (the “OeNB”) agrees to lend to the Fund an SDR-denominated amount up to the equivalent of EUR 6,130 million (the “Loan Amount”).
- Upon effectiveness of the increase in Austria’s credit arrangement under the Fund’s New Arrangements to Borrow (the “NAB”) as part of the NAB Reform (Decision No. 16645-(20/5), adopted January 16, 2020), the Loan Amount will be automatically reduced to an SDR-denominated amount up to the equivalent of EUR 2,641 million (the “Rolled Back Loan Amount”).
- Agreement basis: Article VII, Section 1(i) of the Fund’s Articles of Agreement; to be considered in light of the Guidelines for Borrowing by the Fund (borrowing as a temporary supplement to quota resources).
- Terminology:
  - This agreement is a “2020 Borrowing Agreement”.
  - Bilateral borrowing agreements under August 2016 are “2016 Borrowing Agreements”.
  - Collectively: the “Bilateral Borrowing Agreements”.

### Key statistics (explicit)
- EUR 6,130 million (Loan Amount)
- EUR 2,641 million (Rolled Back Loan Amount)
- Decision No. 16645-(20/5), adopted January 16, 2020

---

### 2. Term of the Agreement and Use

### Term and extension
- Term ends on December 31,2023.
- Fund may extend term for one further year through December 31,2024 by Executive Board decision, considering the Fund’s Overall liquidity Situation and borrowing requirements, and with OeNB consent.

### Activation conditions (use)
- 2020 Borrowing Agreements may be activated only after Managing Director notifies Executive Board that the modified Forward Commitment Capacity (modified FCC, Decision No. 14906-(11/38), adopted April 20, 2011, taking into account all available uncommitted NAB resources) is below SDR 100 billion (the “activation threshold”).
- Managing Director shall not notify unless:
  - (i) the NAB is activated at the time of notification, or there are no available uncommitted NAB resources at that time; and
  - (ii) activation has been approved by creditors representing at least 85 percent of total credit amount committed under the 2020 Borrowing Agreements by creditors eligible to vote on such activation.
- Managing Director may approach creditors before modified FCC falls below activation threshold in extraordinary circumstances.

### Deactivation and reactivation
- 2020 Borrowing Agreements deactivated automatically whenever NAB is no longer activated, unless no uncommitted NAB resources exist.
- Deactivated if Managing Director notifies Executive Board that modified FCC (excluding Bilateral Borrowing Agreement amounts) has risen above activation threshold and:
  - (i) Executive Board determines activation no longer necessary; or
  - (ii) six months elapse since Managing Director’s notification and modified FCC (excluding Bilateral Borrowing Agreement amounts) has not fallen below activation threshold.
- If modified FCC later falls below activation threshold after deactivation, paragraph 2(b) provisions apply.

### Permitted uses while activated
- During activation, Fund may:
  - (i) use resources under this agreement to fund any outright purchases from the GRA during the term; and
  - (ii) approve commitments of GRA resources whose purchases could be funded by drawings under this agreement at any time during the period of such commitments, including after expiration of term or during any period when agreement is not activated; commitments covered under (ii) include any commitment whose approval caused activation threshold to be reached.
- After activation, resources may be used to fund early repayment of Claims under other 2020 Borrowing Agreements if relevant creditors request early repayment per paragraph 8; drawings to fund such early repayment may be made while Claims under 2020 Borrowing Agreements remain outstanding, including after expiration of term or during periods when agreement is not activated.

### Allocation objective
- Drawings shall be made with the goal of achieving over time broadly balanced positions among creditors under all Bilateral Borrowing Agreements relative to their commitments.

### Key statistics (explicit)
- SDR 100 billion (activation threshold)
- 85 percent (creditor approval threshold for activation)
- December 31,2023 (term end)
- December 31,2024 (possible one-year extension)

---

### 3. Estimates, Notices, and Limits on Drawings

### Estimates and plan inclusion
- Prior to each plan period for use of bilateral borrowed resources, Fund shall provide OeNB best estimates of expected drawings for the forthcoming period and revised estimates as warranted.
- OeNB shall not be included in periodic plan and no drawings made if Austria is not included and not proposed to be included in Financial Transactions Plan for transfers of its currency.
- No drawings if OeNB was included but at time of drawing Austria’s currency is not being used in transfers under the Financial Transactions Plan due to Austria’s balance of payments and reserve Position.
- If Austria was not included at vote on activation but subsequently included, drawings may be made to fund purchases and commitments made during activation unless OeNB notifies Fund it does not wish to be drawn upon.

### Notice requirements for drawings
- Fund shall give OeNB at least five business days’ (Vienna) notice of intention to draw and provide payment instructions at least two business days (Fund) prior to the value date by rapid authenticated means (e.g., SWIFT).
- Exceptional circumstances: if not possible to provide five business days’ (Vienna) notice, notification shall be at least three business days (Vienna) in advance; OeNB to make best efforts to meet call.

---

### 4. Evidence of Indebtedness

- Outstanding drawings included in Statements of Austria’s position in the Fund published monthly.
- At OeNB request, Fund shall issue non-negotiable Instruments evidencing indebtedness under this agreement.
- Upon repayment of instrument amount and all accrued interest, instrument returned to Fund for cancellation; if partial repayment, instrument returned and new instrument issued for remainder with same maturity date.

---

### 5. Maturity

### Standard maturities and extensions
- Except as provided in paragraph 5 and paragraph 8, each drawing shall have maturity date of three months from drawing date.
- Fund may elect to extend maturity by additional periods of three months after initial maturity; such extensions are automatically deemed elected for all outstanding drawings unless Fund notifies OeNB at least five business days (Fund) before a maturity date that it does not elect to extend a particular drawing or portion.
- Limits on extensions:
  - (i) maturity date of any drawing to fund purchases from the GRA shall not be extended later than the tenth anniversary of the date of such drawing; and
  - (ii) maturity date for drawings to fund early repayments of other creditors’ Claims per paragraph 2(e) shall be a single common maturity date that is the longest remaining maximum maturity of any Claim for which early repayment requested or the tenth anniversary of the drawing date, whichever is earlier.

### Repayment and early repayment
- Fund shall repay principal amount on applicable maturity date.
- After consultation with OeNB, Fund may make early repayment in part or full prior to maturity with at least five business days (Fund) notice by rapid authenticated means.
- Repayments do not restore pro tanto the amount that can be drawn; extension of maturity does not reduce the amount that can be drawn.
- If maturity date not a business day at payment place, payment date is next business day there; interest accrues up to payment date.

---

### 6. Rate of Interest

- Each drawing bears interest at the SDR interest rate established by the Fund pursuant to Article XX, Section 3 of the Fund’s Articles of Agreement.
- If Fund pays an interest rate higher than SDR interest rate on outstanding balances from any other comparable borrowing effected pursuant to Article VII, Section 1(i), and such higher rate remains in effect, interest payable on drawings under this agreement shall be equivalent to the interest rate paid by the Fund on such other comparable borrowing.
- Interest amount calculated on outstanding amount of drawing; interest accrues daily and is paid promptly after each July 31, October 31, January 31, and April 30.

---

### 7. Denomination, Media and Modalities of Drawings and Payments

### Denomination and payment mechanics
- Amount of each drawing and corresponding repayment denominated in SDRs.
- Unless otherwise agreed, OeNB shall pay amount of each drawing by transfer of the SDR equivalent amount of euro to Fund’s account at designated depository of Austria on the value date specified in Fund’s notice.
- For drawings under paragraph 2(e), OeNB shall ensure that balances drawn that are not balances of a freely usable currency can be exchanged for a freely usable currency of its choice; for balances that are freely usable currency, OeNB shall collaborate with Fund and other members to enable exchange for another freely usable currency.

### Currencies of repayment and interest
- Except as provided in paragraph 8, repayment of principal shall be made, as determined by Fund, in:
  - the currency borrowed whenever feasible,
  - in euro,
  - in special drawing rights (provided it does not increase Austria’s SDR holdings above limit under Article XIX, Section 4 unless Austria agrees),
  - in freely usable currencies,
  - or with OeNB agreement in other currencies included in Fund's Financial Transactions Plan for transfers.
- Interest payments normally in SDRs; Fund and OeNB may agree interest payments in euro.
- Payment destinations:
  - Euro payments to an account specified by OeNB.
  - SDR payments by crediting Austria’s account in the Special Drawing Rights Department.
  - Payments in any other currency to account specified by OeNB.

---

### 8. Early Repayment at Request of the OeNB

- OeNB may request early repayment at face value of all or part of outstanding drawings if:
  - (i) OeNB represents Austria’s balance of payments and reserve position justifies such repayment; and
  - (ii) Fund, giving that representation the overwhelming benefit of any doubt, determines there is a need for the early repayment as requested in light of Austria’s balance of payments and reserve position.
- After consultation with OeNB, Fund may make repayments pursuant to this paragraph in SDRs or a freely usable currency as determined by the Fund or, with OeNB agreement, in currencies of other members included in Fund’s Financial Transactions Plan for transfers.

---

### 9. Transferability

### General rule
- OeNB may not transfer obligations under this agreement or Claims resulting from outstanding drawings except with prior consent of the Fund and on terms the Fund may approve, except as provided in subparagraphs (b)–(h).

### Permitted transfers (subparagraph b)
- OeNB may transfer at any time all or part of any Claim to:
  - any member of the Fund,
  - the central bank or other fiscal agency designated by any member for Article V, Section 1 purposes (“other fiscal agency”),
  - any official entity prescribed as a holder of SDRs pursuant to Article XVII, Section 3.

### Conditions on transferee and transfer mechanics
- Transferee assumes OeNB liability re paragraph 5(a) extension of maturity for drawings related to transferred Claim.
- Transferred Claims held on same terms except:
  - (i) transferee acquires right to request early repayment under paragraph 8 only if it is a member or central bank/other fiscal agency of a member and at time of transfer the member’s balance of payments and reserve Position is considered sufficiently strong in Fund opinion such that its currency is used in transfers under the Financial Transactions Plan;
  - (ii) if transferee is a member or its central bank/fiscal agency, references to euro in paragraph 7 refer to the currency of the relevant member; otherwise euro refers to a freely usable currency determined by Fund;
  - (iii) payments related to transferred Claim made to account specified by transferee;
  - (iv) references to business days (Vienna) deemed to refer to business days where transferee is situated.
- Price of transferred Claim as agreed between OeNB and transferee.
- OeNB shall promptly notify Fund of Claim transferred, transferee name, amount transferred, agreed price, and value date.
- Transfer reflected in Fund records if in accordance with terms and conditions of paragraph 9; effective as of agreed value date.
- If Claim transferred during quarterly period as described in Paragraph 6(b), Fund shall pay interest to transferee on amount transferred for whole of that period.
- Fund shall assist in seeking to arrange transfers if requested.

---

### 10. Effective Exchange Rate

### Exchange rate determination
- Unless otherwise agreed, all drawings, exchanges, and payments of principal and interest shall be made at exchange rates for relevant currencies in terms of the SDR established pursuant to Article XIX, Section 7(a) of the Fund's Articles of Agreement and Fund rules for the second business day of the Fund before the value date of the transfer, exchange or payment.
- If this exchange rate determination date is not a business day in Vienna, such date shall be the last preceding business day of the Fund that is also a business day in Vienna.

### Euro value fixation for limits
- For applying limit on drawings as specified in paragraphs 1(a), 15(c) and 15(e), the euro value of each SDR-denominated drawing shall be determined and permanently fixed on the value date of the drawing based on the euro/SDR exchange rate established pursuant to Article XIX, Section 7(a) and Fund rules for the second business day of the Fund before the value date of the drawing.
- If this exchange rate determination date is not a business day in Vienna, such date shall be the last preceding business day of the Fund that is also a business day in Vienna.

---

*Source: pr214-signed-austria-2020-borrowing-agreements - 1. Purposes and Amounts.*

### 11. Chanqes in Method of Valuation of SDR.

### 11. Chanqes in Method of Valuation of SDR.

### Changes in Method of Valuation of SDR
- If the Fund changes the method of valuing the SDR, all transfers, exchanges and payments of principal and Interest made two or more business days of the Fund after the effective date ofthe change shall be made on the basis ofthe new method of valuation.

### Non-Subordination of Claims
- The Fund agrees that it will not take any action that would have the effect of making the OeNB’s Claims on the Fund resulting from outstanding drawings under this agreement subordinate in any way to Claims on the Fund resulting from any other borrowing effected pursuant to Article VII, Section 1 (I) of the Fund’s Articles of Agreement.

### Settlement of Questions
- Any question arising under this agreement shall be settled by mutual agreement between the OeNB and the Fund.

### Cooperation with the Fund
- The OeNB Stands ready to cooperate with the Fund in the spirit of IMFC/G-20 commitments as needed and appropriate.

### Transitional Arrangements
- (a) Regardless of whether this agreement is activated or not, the Fund:
  - (i) subject to Paragraph 15(b) below, shall make drawings underthis agreement to repay any outstanding Claims under the OeNB’s 2016 Borrowing Agreement, and
  - (ii) may make drawings under this agreement to fund purchases under commitments approved by the Fund during an activation of the 2016 Borrowing Agreements or to fund early repayment of Claims under other 2016 Borrowing Agreements in case the creditor represents a balance of payments need; provided that notwithstanding paragraph 5(a) of this agreement the maximum maturity date of the Claim from the repayment herein shall be the residual maximum maturity date of the Claim that is repaid with drawings underthis agreement; and provided furtherthat any Claims underthis agreement that result from the repayment herein shall be considered Claims under the 2016 Borrowing Agreements for purposes offunding the early repayment of these Claims in case of balance of payments need in accordance with the 2016 Borrowing Agreements, and for purposes of special calls under paragraph 23 of the Fund’s Decision No. 16645-(20/5), adopted January 16, 2020.
- (b) To the extent that Claims under the OeNB’s 2016 Borrowing Agreement or this agreement are outstanding when the increase in Austria's NAB credit arrangement becomes effective, the OeNB shall be deemed to request, on behalf of Austria, in accordance with paragraph 23 of the Fund’s Decision No. 11428-(97/6), adopted January 27, 1997 on the NAB, as amended, that the Managing Director make calls under Austria’s NAB credit arrangement up to the maximum available amount, taking into account the Fund’s need for maintaining Prudential balances, to fund the repayment of such Claims; provided that if the increase in Austria’s NAB credit arrangement and this agreement enter into effect at the same time, the repayment of the OeNB’s outstanding Claims under the OeNB’s 2016 Borrowing Agreement shall be funded first with calls under Austria’s NAB credit arrangement before drawings are made under this agreement pursuantto paragraph 15(a) above. Notwithstanding paragraph 5(d) above, repayments of Claims resulting from drawings under this agreement in accordance with this paragraph 15(b) shall restore pro tanto the amount that can be drawn under this agreement.
- (c) If following the repayment of outstanding Claims under the OeNB’s 2016 Borrowing Agreement and this agreement as provided in paragraph 15(b) above, the OeNB’s outstanding Claims under these agreements remain in excess ofthe Rolled Back Loan Amount as calculated pursuant to paragraph 10(b), the Fund shall repay any outstanding Claims under the OeNB’s 2016 Borrowing Agreement and this agreement in excess ofthe Rolled Back Loan Amount; provided that Claims with shorter remaining maximum maturities shall be repaid before those with longer remaining maximum maturities.
- (d) After the entry into force of this agreement, the Fund may make no further drawing under the OeNB’s 2016 Borrowing Agreement.
- (e) No drawing under this agreement shall be made that would cause the cumulative amount drawn under both this agreement and the 2016 Borrowing Agreement between the OeNB and the Fund, at the time of such drawing, to (i) exceed the Lean Amount prior to the effectiveness of the increase in Austria’s NAB credit arrangement, or (ii) exceed the Rolled Back Lean Amount upon and after the effectiveness of the increase in Austria’s NAB credit arrangement, as calculated pursuant to paragraph 10(b); provided that drawings beyond the Rolled Back Lean Amount under (ii) herein are authorized, if within the same day of these drawings any resulting Claim that would exceed the Rolled Back Loan Amount is repaid with a special call under Austria’s NAB credit arrangement, and the OeNB hereby requests, on behalf of Austria, that the Managing Director make such calls to fund the repayment in accordance with Paragraph 23 of the Fund’s Decision No. 11428-(97/6), adopted January 27, 1997 on the NAB, as amended.

### Final Provisions
- (a) This agreement may be executed in duplicate counterparts, each of which shall be deemed an original and both of which together shall constitute but one and the same Instrument.
- (b) This agreement shall become effective on the date last signed below or on the date on which Austria provides the concurrence that is required under Article VII, Section 1 (i) of the Fund’s Articles of Agreement for Fund borrowing of euro from the OeNB, or on January 1, 2021, whichever is later.

### Signatures / Execution Dates (as provided)
- For the Oesterreichische Nationalbank:
  - Governor
  - Date
  - JS.q. 20^0
  - Date
- For the International Monetary Fund:
  - Kristalina Georgieva
  - Managing Director
  - Date
- For the Oesterreichische Nationalbank:
  - Robert Holzmann, Governor
  - Gottfried Haber, Vice Governor
- For the International Monetary Fund:
  - Kristalina Georgieva, Managing Director
- Date: 09/29/2020

*Source: pr214-signed-austria-2020-borrowing-agreements - 11. Chanqes in Method of Valuation of SDR.*

---


_Source: https://www.imf.org/-/media/files/news/press-release/2021/pr214/pr214-signed-austria-2020-borrowing-agreements.pdf_