Philippines contributed $125M to IMF as of end-’11

A+
A
A-

The Philippines contributed more than $125 million as of end-2011 to the pool of money disbursed by the International Monetary Fund to help address the financial crisis confronting economies in Europe.

This was according to the Bangko Sentral ng Pilipinas, which reported Tuesday that the Philippines, which enjoys growing foreign exchange reserves, has made available about $251.5 million to the IMF to finance the assistance program—the Financial Transactions Plan (FTP)—for crisis-stricken countries.

Of the amount, more than half was actually disbursed by the IMF to European countries battling the financial crisis, including Ireland, Portugal and Greece.

IMF-member countries, which pay quota contributions to the institution, are either net borrowers or lenders depending on their foreign exchange liquidity and the stability of their financial sectors.

“By virtue of their participation in the FTP, emerging market economies like the Philippines have joined international cooperative efforts to mitigate the spillover effects of Europe’s sovereign debt crisis by enhancing financial safety nets [through contributions to funds for lending],” BSP Governor Amando Tetangco Jr. said in a statement.

The Philippines used to be a net borrower as far as its membership with the IMF was concerned. But in 2006, the country prepaid all its outstanding debts with the IMF given its much-improved external liquidity position.

In 2010, the Philippines became a lending IMF member by participating in the FTP as a creditor country.

“The Philippines’ long-standing relationship with the IMF has evolved from being a prolonged user of the IMF’s resources to a stronger partnership marked by the country’s contribution to collective efforts in preserving the stability of the international monetary system,” Tetangco said.—Michelle V. Remo

Disclaimer: The comments uploaded on this site do not necessarily represent or reflect the views of management and owner of INQUIRER.net. We reserve the right to exclude comments that we deem to be inconsistent with our editorial standards.

  • http://pulse.yahoo.com/_PDGJ5TPDFWFXUDVTM34Y6SHF74 don

    haha…nakikinabang ang Pnoy admin sa good fiscal management ng previous admin… at ngayon  sila ang mukhang bida kahit wala pa naman ginagawa

    • http://profile.yahoo.com/I2GCQ5T4QYVCGSRDCHFCVFBKJA Matrix

      sino ba ang nagsabi dito na dahil kay Pnoy kaya nakapag lend ang Pinas sa IMF? It only shows your prejudice towards the current administration. Kahit anung gagawin yata ng administration lahat mali sayo. What a crab mentality.

  • Anonymous

    Too bad the Arroyo government isn’t getting credit for the sound economic fundamentals it established, significantly lowering public debt to GDP ratio from a high of 74% in 2004 to just 56% in 2010, effectively shielding the Philippines from the effects of the European economic meltdown. 

  • si makising

    Nice! Great news!

  • http://profiles.google.com/odredd Dredd Ofalexandria

    This is a good news indeed. A good barometer also is that the financial system and the stock investors are confident and bullish with the anti-corruption efforts of the government.

    I think we are on the right track.

  • http://pulse.yahoo.com/_BT2TZTED6DG45VESIFNAKUFVEA marz

    I think it is better that we lend the money to IMF instead of keeping it and allow the government to handle the funds. In that way, the money wouldn’t be used for corruption or government projects that are not necessary. The IMF makes sure that the lending country gets the principal, and the interest rate in the succeeding years. 

  • Anonymous

    Please do not be too generous with our OFW’s hard earned money. It seems that we can not expect to get back any money contributed to the IMF.

    • Anonymous

       as if  kayo lang nagtratrabaho, kami rindito sa pinas nagbabayad ng mas malaking tax. Please do not single out your contribution to our country.

  • http://twitter.com/hklt0110 Blue Network

    nice..very something new..hindi na tayo nangungutang kahit papano, tayo naman nagpapautang..

  • Anonymous

    The Philippines as a lender. Now that’s something new.

    God bless the Philippines.

  • Anonymous

    galing ah

  • Anonymous

    the resources are there, corruption is just the hindrance. 

To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.

Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:

c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City,Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94

editors' picks

advertisement

popular

advertisement

videos