## IMF Executive Board Reviews the Fund's Income Position for Financial Years 2017–18

_IMF News, May 30, 2017_

## Source details

**Canonical URL:** [IMF Executive Board Reviews the Fund's Income Position for Financial Years 2017–18](https://www.imf.org/en/news/articles/2017/05/30/pr17197funds-income-position-for-fy2017-and-2018)

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## Bibliographic details
- Published: May 30, 2017

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### Executive Board review
- The Executive Board completed its annual review of the Fund’s income position for the financial years ending April 30, 2017 (FY 2017) and FY 2018 on April 26, 2017.
- Press Release No. 17/197.

### FY 2017 income position — findings and balances
- Total FY 2017 net income, including income from surcharges applied to higher access borrowing from the IMF, is estimated at SDR 1.7 billion (US$2.3 billion).
- Net income excluding the retained earnings of the gold endowment will be added to the IMF’s precautionary balances.
- Precautionary balances are projected to reach SDR 16.4 billion (US$22.5 billion) at end-FY 2017.
- The net income position for FY 2017 is higher than estimated a year earlier.
  - This improvement reflects:
    - the amended IAS (International Accounting Standard) 19 adjustment, relating to reporting of employee benefits, and
    - higher investment income.

### FY 2018 income position — projection and sensitivities
- Net income projected for FY 2018: SDR 0.7 billion (US$1 billion).
- Projection sensitivities:
  - timing and amounts of disbursements under approved arrangements included in the projections,
  - possible new arrangements,
  - the performance of the Fund’s investment portfolio,
  - the annual pension expense as determined under IAS 19.
- The projected net income will allow the IMF to continue to add to its precautionary balances.

### Rate of charge and margin decision
- The IMF charges member countries a basic rate of charge on the use of IMF credit, determined as the SDR interest rate plus a margin expressed in basis points.
- In April 2016, the Executive Board set the margin for this rate of charge at 100 basis points for financial years FY 2017 and FY 2018.
- At the midpoint comprehensive review of the Fund’s income position, the Executive Board concluded that the margin should remain unchanged.

*IMF Executive Board Reviews the Fund's Income Position for Financial Years 2017–18; Press Release No. 17/197.*

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## References

- [Special Drawing Rights (SDRs) -- A Factsheet](https://www.imf.org/en/about/factsheets/sheets/2023/special-drawing-rights-sdr)
- [Press Releases](https://www.imf.org/en/news/searchnews)
- [PRESS CENTER](http://presscenter.imf.org/)
- [annual review](http://www.imf.org/en/Publications/Policy-Papers/Issues/2017/05/30/pp040417review-of-the-funds-income-position-for-fy-2017-and-fy-2018)
- [https://www.imf.org/en/home](https://www.imf.org/en/home)

_Source: https://www.imf.org/en/news/articles/2017/05/30/pr17197funds-income-position-for-fy2017-and-2018_