## Statement by the Managing Director on the Work Program of the Executive Board — Executive Board Meeting, June 11, 2020

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**Canonical URL:** [Statement by the Managing Director on the Work Program of the Executive Board — Executive Board Meeting, June 11, 2020](https://www.imf.org/-/media/files/publications/pp/2020/english/ppea2020032.pdf)

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### Overview and context
- COVID-19 continues to take a heavy human and economic toll; the outlook remains highly uncertain.
- The crisis has led to an unprecedented surge in demand for Fund support and a strain on staff resources.
- The crisis-focused Work Program (WP) covers essential work during May to October aimed at helping countries mitigate the crisis, restore stability, and prepare for a strong and sustainable recovery.
- The WP implies a large increase in Board items compared with last year, reflecting mostly informal and more frequent updates; other work streams are delayed and will be included once pandemic evolution is clearer.

### 1. Rapid crisis response: protect people and economies, limit contagion, smooth adjustment
- Priorities:
  - Emergency financial support, analysis of crisis impact and policy responses, and timely and targeted Capacity Development (CD).
  - Tracking policy actions across 193 economies to help members share good practices and disseminating policy advice via the Special Series on COVID-19.
  - Briefings on CD Developments and Outlook, with more as needed.
- Lending toolkit work:
  - Paper: "Lending Strategy During the Pandemic and Beyond" — overarching framework for Fund lending amid uncertainty and mounting debt.
  - Paper: "Temporary Modification of the Access Limits to Fund Resources" — options for temporary increase in access limits to provide room for emergency financing and follow-up Upper Credit Tranche (UCT)-quality arrangements while managing risks.
  - Review: "Financing of the Fund’s Concessional Assistance and Debt Relief to Low-Income Member Countries" — assess adequacy of concessional and debt relief resources.
  - Consideration: "Policy Safeguards for Countries Seeking Access to Fund Financial Support that Would Lead to High Levels of Combined GRA-PRGT Exposure."
- Debt-related work:
  - Operationalize the G-20 Debt Service Suspension Initiative (DSSI); following briefings in May and a second update, staff will prepare, jointly with the World Bank (WB), an assessment on a possible extension of the DSSI later this year.
  - Review of the Catastrophe Containment and Relief Trust (CCRT) and Second Tranche of CCRT Debt Relief — proposals for extending the second tranche subject to available financing.
  - Briefings on "Role of the Fund in Debt Restructuring" and a subsequent briefing on "Sovereign Debt Resolution" to explore options for improving debt resolution architecture.
  - Update to the Joint WB-IMF Multipronged Approach for Addressing Emerging Debt Vulnerabilities — debt analysis, transparency, management, and policy.
  - Continued work on reviews of the Debt Sustainability Framework for Market Access Countries and the Debt Limits Policy following recent Board engagements.
- Macroeconomic and financial monitoring:
  - Frequent briefings on macroeconomic and financial developments (e.g., Emerging Markets: Landscape, Prospects, and Risks; Global Economic Outlook; Global Financial Markets Developments; World Economic and Market Developments Update).
  - Increased Regional Economic Briefings and Briefings on Country Matters; work on "The Covid-19 Crisis and Low-Income Developing Countries: Impact, Policy Response and Policy Tradeoffs."
- Flagship reports focused on crisis-related policies:
  - Fall World Economic Outlook (WEO) — policies to navigate the crisis and aim for a more sustainable global economy after the crisis.
  - Fall Global Financial Stability Report (GFSR) — analysis of recent financial market developments and key vulnerabilities.
  - Fiscal Monitor (FM) — update on public finances and analysis of public investment’s role in fiscal policy for recovery.
  - Early Warning Exercise engagement on macro risk work.
- Fund resources and precautionary measures:
  - Board received updates on Fund Resources and PRGT Financing and Resources; further updates scheduled, including one in July.
  - Possible Board discussion on Activation of the New Arrangements to Borrow.
  - Review of the Adequacy of the Fund’s Precautionary Balances in light of upswing in Fund lending.
  - Staff exploring options to make better use of existing SDRs to support members in need; Board updates to follow.

### 2. Restore macroeconomic stability and foster a strong and inclusive recovery
- Surveillance and engagement:
  - "Surveillance During the COVID-19 Crisis: Engagement on Country and Thematic Issues" — propose how to gradually restart bilateral surveillance assuming crisis work relents.
- Trade and external sector work:
  - Briefing on Trade Developments and related policy issues to help reignite trade flows.
  - 2020 External Sector Report — multilaterally-consistent assessment of the largest economies’ external positions.
- Financial sector and corporate distress:
  - Briefings on Global Stress Testing to assess pandemic effects on bank solvency across a group of large advanced economies and emerging markets.
  - Staff briefings on "Policies to Support Economic and Financial Stability in Response to COVID" and "Financial Sector Regulatory Policies During the COVID Crisis."
  - Discussion on "Corporate Insolvency and Debt Restructuring" — options to minimize economic and financial impact of rising defaults.
- Support for G-20 coordination:
  - G-20 note on Access to Opportunities — policies to address likely increases in inequality.
  - G-20 Surveillance Notes and G-20 Report on Strong, Sustainable, Balanced, and Inclusive Growth to be shared ahead of G-20 meetings.

### 3. Build more resilient economies and prepare for long-term shifts
- Integrated policy and monetary issues:
  - Board discussion on Integrated Policy Framework (IPF)—Results in light of capital flow pressures.
  - Briefing on "Impact of Low or Negative Interest Rates."
  - Central Bank Transparency Code to support calls for greater transparency as central banks take broader roles during the COVID-19 response.
- Digitalization, data, and cyber:
  - Board engagement on "Macro-Financial Implications of Cross-Border Use of Digital Currencies" — will inform a G20 note on "Macro Implications of Stablecoins for Monetary Sovereignty."
  - Briefing on Staff Discussion Note (SDN) "Developing a Global Approach to Data Policy Frameworks."
  - Briefing on cyber risks and challenges for small and developing countries: "Cyber-Security Risk and Financial Stability."
- Governance and surveillance on climate and small states:
  - Briefing on Governance Safeguards for Emergency Financing and an Update on Implementation of the Framework for Enhanced Fund Engagement on Governance, including measures taken related to emergency lending.
  - Engagement on "Integrating Climate Change into Surveillance" to support a green recovery.
  - Discussion of IEO Evaluation—"The IMF Advice on Capital Flows" and related analytical work on the IPF to set the stage for a 2021 review of the Institutional View on capital flows.
  - Informal seminars: IEO Evaluation on IMF Collaboration with the World Bank on Climate Change Issues; IEO Evaluation on the IMF and Small States. A formal discussion on climate collaboration to be scheduled before a Comprehensive Surveillance Review.

### 4. Resume other priorities as crisis evolves
- Other priorities will be included in the Board agenda for the remainder of the fiscal year once pandemic evolution and crisis-related work clarity improve.
- As the crisis recedes, work on key surveillance reviews will pick up with lessons from the crisis and consideration of significant structural post-crisis shifts.
- Planned refocus areas: fragile states, broader climate change issues, gender, and fintech.
- IEO evaluations will continue; the 6-month time requirement to complete related Management Implementation Plans will be extended in light of ongoing crisis work.

### 5. Adaptation, reprioritization, budget, and modernization
- Budget and resources:
  - Board briefings on the FY20 Outturn and FY21 Administrative Budget Review.
  - If agreed, a proposal for a Supplementary Budget to Address COVID-19 Related Needs will follow.
- Modernization and efficiency:
  - Briefings on the Big 5 Modernization Agenda, including iData Cost Benefit Analysis and Integrated Digital Workplace—Cost Benefit Analysis.
  - Update on Knowledge Management.
- Diversity and internal operations:
  - Engagement on the 2025 Diversity and Inclusion Benchmarks and a Diversity and Inclusion Update.
  - Continued updates on implications of COVID-19 on internal operations following a recent briefing on Planning for Return to Offices during COVID-19.

*Source: Statement by the Managing Director on the Work Program of the Executive Board, Executive Board Meeting, June 11, 2020.*

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_Source: https://www.imf.org/-/media/files/publications/pp/2020/english/ppea2020032.pdf_