The Short-term Liquidity Line (SLL)
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The last update was in April 2025
Learn more about IMF lending, or visit our other lending facilities factsheets:
The last update was in April 2025
The Short-term Liquidity Line (SLL) is a liquidity backstop for members with very strong policy frameworks and fundamentals, who face potential, moderate, short-term liquidity needs because of external shocks that generate balance of payment difficulties. It aims to minimize the risk of shocks evolving into deeper crises and spilling over to other countries.
Purpose |
Provide support to countries facing potential, moderate, short-term balance of payment needs related to capital account pressures that could arise from external developments. |
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Eligibility |
Very strong economic fundamentals and institutional policy frameworks. |
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A sustained track record of implementing very strong policies or be in the process of implementing them. A commitment to maintain such policies in the future. |
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In addition to a positive assessment of the country's policies in the most recent Article IV consultations, the country must have:
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The above criteria are the same as for the Flexible Credit Line (FCL). This facilitates the transition from the FCL to the SLL as well as concurrent use of the two instruments, if the relevant balance of payment needs requirement are met. |
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Conditionality |
Ex-ante conditionality in the form of qualification criteria. No ex-post (“program”) conditionality, given the strength of the policy frameworks, as attested by SLL qualification. |
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Review
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No reviews |
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Process |
For approval, two options are available: (i) the IMF’s Executive Board extends an offer, which is contingent on the authorities’ acceptance with a signed written communication within two weeks; or (ii) the country requests an SLL through a written communication attached to the Staff Report, the SLL arrangement becoming effective upon Board approval of the request. Sole signatory of the central bank in the written communication is possible if certain requirements are met. |
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Terms |
Duration |
12 months |
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| Repayment |
12 months |
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Interest rate and fees |
Less costly than the (FCL) at the same access level when used on a purely precautionary basis. |
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If a member draws, these charges apply: A lending rate comprising,
A non-refundable commitment fee of 8 basis points (bps) and a service charge of 21 bps. |
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| Access and concurrent use |
Access is capped at 200 percent of quota, with no expectation to articulate an exit strategy. |
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Access is revolving, enabling repeated partial or full purchases and repurchases within and across SLL arrangements. Repurchases would reconstitute the member’s right to purchase up to the maximum access approved. |
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Successor arrangements can be approved for as long as a member country continues to qualify and has a special balance of payments need. Concurrent use with FCL (which shares the same qualification criteria) is permitted, if justified by the nature and magnitude of external risks and potential balance of payments needs. |
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