Press Release No. 11/152

Press Release: IMF Executive Board Approves FY12–14 Medium-Term Budget

April 28, 2011

The Executive Board of the International Monetary Fund (IMF) has approved the IMF’s financial year (FY) 2012 administrative and capital budgets and endorsed indicative budgets for FY2013–14. The staff paper for the Board and the Managing Director’s accompanying statement on the strategic directions underpinning the new medium-term budget are publicly available on the Fund’s website.

The net administrative budget for the financial year ending April 30, 2012 has been set at US$985 million, compared with US$933 million in FY2011. This budget, which covers all administrative expenses net of receipts primarily from donors to help support technical assistance activities, includes a small increase in the Fund’s structural or underlying budget, to enable it to carry out new responsibilities assigned to the IMF by its membership in the areas of crisis prevention, surveillance of the global economy, and financial sector analysis. It also continues to provide funding for a temporary spike in bilateral crisis-related activities to assist members directly affected by the ongoing global crisis. The capital budget has been set at US$162 million, which includes initial financing for major building repairs to the older of the Fund’s two headquarters buildings.

The Executive Board also supported the repeal by IMF management of the planned introduction of charges for capacity building provided by the IMF. The introduction of charges to cover the cost of IMF-financed technical assistance and training, agreed in 2008 (see Public Information Notice No. 08/129), had already been suspended in light of the global financial crisis. As a result of the repeal, the Fund will continue to provide technical assistance and training free of charge, with support from donors and subject to the availability of resources.