## IMF Survey: IMF to Double Lending Power as Pledges Top $430 Billion

_IMF News, April 20, 2012_

## Source details

**Canonical URL:** [IMF Survey: IMF to Double Lending Power as Pledges Top $430 Billion](https://www.imf.org/en/news/articles/2015/09/28/04/53/sonew042012a)

## Other formats

- [Markdown version](/en/news/articles/2015/09/28/04/53/sonew042012a/index.md)
- [Structured JSON version](/en/news/articles/2015/09/28/04/53/sonew042012a/index.json)
- [Bundle manifest](/en/news/articles/2015/09/28/04/53/sonew042012a/bundle-manifest.json)

## Bibliographic details
- Published: April 20, 2012

---

### Overview
- Publication date on page: April 20, 2012
- Headline finding: The Group of Twenty (G-20) and the broader IMF membership agreed on pledges to boost the IMF’s lending capacity by more than $430 billion, a move that will almost double the IMF’s total lending power.
- Context: The IMF advocated building a stronger global firewall of additional resources to contain further financial crises during a “timid” recovery of the global economy.

### Commitments and resources
- Total new commitments announced: more than $430 billion.
- Formal and specific pledges already made by IMF member countries: amounted to more than $360 billion.
- Remaining balance to reach the total: comprised commitments that still had to be ratified by pledging countries (bringing the total to more than $430 billion).
- Availability: These resources will be available for the whole membership of the IMF and not earmarked for any particular region.
- Past IMF lending since the start of the global economic crisis in 2007: the IMF has committed more than $300 billion in loans to its member countries.
- Concessional lending for low-income countries: quadrupled in response to the crisis.

### Statements and rationale from officials
- IMF Managing Director Christine Lagarde (news conference April 20): said the new commitments would almost double the IMF’s lending power and signaled “the strong resolve of the international community to secure global financial stability and put the world economic recovery on a sounder footing.”
- Lagarde (to reporters April 19): described the global economy as having entered a “timid” recovery and still facing high risks, underlining the need for additional IMF firepower.
- Lagarde on use of resources: “These resources are being made available for crisis prevention and resolution and to meet the potential financing needs of all IMF members. They will be drawn only if they are needed, and if drawn, will be refunded with interest.”
- IMFC Chairman Tharman Shanmugaratnam: characterized the agreement as arising from a broad consensus across European and non-European countries, and advanced and emerging economies; urged that the firewall is “a necessary but far from sufficient condition” for resolving the crisis.
- Shanmugaratnam on reforms: “The real solution has to do with the fiscal and structural reforms that address the real causes of this crisis, particularly in Europe, but also elsewhere.”
- Mexican Finance Minister Jose Antonio Meade: noted broad G-20 support and that contributors were “very comfortable with the way we have moved forward.”
- Bank of Mexico Governor Agustin Carstens: emphasized that boosting IMF lending capacity is only one element in combating crises and that “Each country is contributing through its own means and its own capacity.”
- Lagarde on safeguards: pledged to make use of the resources “wisely, in accordance with the rules, with due regard to making sure that the creditors’ interests are well protected, with the appropriate risk mitigation strategy in place.”

### Policy implications and priorities
- Purpose of resources:
  - Crisis prevention and resolution.
  - To meet potential financing needs of all IMF members.
- Principles emphasized:
  - Broad-based availability (not regionally earmarked).
  - Use only if needed; drawn funds to be refunded with interest.
  - Use in accordance with IMF rules and with creditor protections and risk mitigation strategies in place.
- Complementary actions:
  - National and regional structural, fiscal, and monetary reforms remain central to addressing underlying causes of the crisis.
  - The firewall is intended to give confidence to pursue deeper fiscal and structural reforms.

### Key statistics and timeline
- Page publication date: April 20, 2012.
- New resource pledges increase IMF resources by: more than $430 billion.
- Formal, specific pledges to date: more than $360 billion.
- IMF lending since 2007 crisis onset: more than $300 billion.
- IMF response for low-income countries: concessional lending quadrupled.
- Upcoming event noted: Mexico to host a G-20 summit in Los Cabos in June.

*Source: IMF Survey: IMF to Double Lending Power as Pledges Top $430 Billion (IMF online, April 20, 2012).*

---

## Content in this bundle

- [New042012acpdf (PDF)](/-/media/websites/imf/imported/external/chinese/pubs/ft/survey/so/2012/new042012acpdf.pdf){rel="external" type="application/pdf"}
- [New042012afpdf (PDF)](/-/media/websites/imf/imported/external/french/pubs/ft/survey/so/2012/new042012afpdf.pdf){rel="external" type="application/pdf"}
- [New042012ajpdf (PDF)](/-/media/websites/imf/imported/external/japanese/pubs/ft/survey/so/2012/new042012ajpdf.pdf){rel="external" type="application/pdf"}
- [New042012arpdf (PDF)](/-/media/websites/imf/imported/external/russian/pubs/ft/survey/so/2012/new042012arpdf.pdf){rel="external" type="application/pdf"}
- [New042012aspdf (PDF)](/-/media/websites/imf/imported/external/spanish/pubs/ft/survey/so/2012/new042012aspdf.pdf){rel="external" type="application/pdf"}

---

## References

- [https://www.imf.org/en/News/country-focus](https://www.imf.org/en/News/country-focus)
- [PRESS CENTER](http://presscenter.imf.org/)
- [In The News](https://www.imf.org/en/news/search)
- [Read G-20—IMFC statement](https://www.imf.org/external/np/sec/pr/2012/pr12144.htm)
- [Read Lagarde statement](https://www.imf.org/external/np/sec/pr/2012/pr12147.htm)
- [Timid recovery from crisis](https://www.imf.org/external/pubs/ft/survey/so/2012/NEW041912A.htm)
- [IMF aims to up lending power](https://www.imf.org/external/pubs/ft/survey/so/2012/NEW012312A.htm)
- [IMF Board assesses resources](https://www.imf.org/external/np/sec/pr/2012/pr1213.htm)
- [EU’s global safety net plan](https://www.imf.org/external/pubs/ft/survey/so/2011/NEW120911A.htm)
- [https://www.imf.org/en/home](https://www.imf.org/en/home)

_Source: https://www.imf.org/en/news/articles/2015/09/28/04/53/sonew042012a_