Chile: Request for an Arrangement Under the Flexible Credit Line-Press Release; Staff Report; and Staff Supplement
IMF Staff Country Reports, May 29, 2020
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- Canonical URL
- Chile: Request for an Arrangement Under the Flexible Credit Line-Press Release; Staff Report; and Staff Supplement
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Bibliographic details
- Published: May 29, 2020
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513545998.002
Qualification for the FCL
- Chile qualifies for the Flexible Credit Line (FCL) by virtue of:
- "very strong fundamentals"
- "institutional policy frameworks"
- "track record of economic performance and policy implementation"
- "commitment to maintain such policies in the future"
External risks and COVID-19 impact
- Notwithstanding very strong fundamentals and policy settings, Chile's open economy is exposed to substantial external risks due to the ongoing coronavirus disease 2019 outbreak, including:
- "a significant deterioration in global demand for Chilean exports"
- "a sharp decline or reversal of capital inflows toward emerging markets"
- "an abrupt tightening of global financial conditions"
Nature and duration of the arrangement
- The authorities intend to treat the FCL arrangement as:
- precautionary
- temporary
- Planned exit:
- Exit the arrangement "as soon as the 24-month period is completed"
- Exit conditional on "a reduction of risks at the time of the mid-term review"
Key publication and metadata
- Publication date: May 29, 2020
- Pages: 76
- Volume: 2020
- Issue: 183
- Series: Country Report No. 2020/183
- DOI: https://doi.org/10.5089/9781513545998.002
- Stock No: 1CHLEA2020003
- ISBN: 9781513545998
- ISSN: 1934-7685
- Subject topics listed: Balance of payments, Credit, Current account, Exports, External debt, Foreign exchange, International trade, Money, Public debt
- Keywords listed: CR, Credit, Current account, debt service, exchange rate, Exports, FCL arrangement, fund, Global, ISCR, lending exposure, open economy, peak fund Exposure, policy, policy implementation
International Monetary Fund. Chile: Request for an Arrangement Under the Flexible Credit Line-Press Release; Staff Report; and Staff Supplement. May 29, 2020.
Content in this bundle
- 1chlea2020003