Philippines to contribute $500M to IMF facility

A+
A
A-

The Philippines has pledged to contribute $500 million to the International Monetary Fund’s latest lending facility aimed at addressing crises such as volatility in the eurozone.

Diwa Guinigundo, deputy governor of the Bangko Sentral ng Pilipinas, said that the entry of the Philippines into the expanded New Arrangements to Borrow (NAB) program of the IMF as a creditor country is currently being processed by the IMF.

Should the entry be finalized, the Philippines will make available $500 million, which the IMF can tap in its efforts to provide financial assistance to crisis-stricken countries, such as those in the eurozone.

The IMF puts up lending facilities such as the NAB to ensure there are sufficient resources that can be tapped in case of significant threats to global monetary stability.

The NAB has $579 billion worth of total pledges from various creditor countries, including the $500 million from the Philippines.

The pledge from the Philippines to the NAB program of the IMF is on top of the country’s contribution of $251.5-million to the Financial Transactions Plan (FTP), another lending facility of the IMF.

Of the Philippines’ contribution to the FTP, over half were actually used by the IMF as part of the overall financial assistance recently extended to debt-ridden Ireland, Portugal and Greece.

The Philippines used to be a net borrower from the IMF until 2006, when the country prepaid all its outstanding obligations to the multilateral institution.

By 2010, the Philippines became a net creditor to the IMF when it participated in the FTP.

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.

  • Anonymous

    Now if the Philippine Government invest that money to the country instead of funding other countries loans to the IMF…. let’s not wait for foreign investors we should invest in ourselves.

  • Anonymous

    Why credit GMA? She has nothing to do with the Philippines being a net creditor. Her rule was marked by corruption and personal enrichment. The credit goes to the millions of nameless OFW’s who sacrificed being away from their loved ones in order to remit ever growing billions of dollars.

  • http://joboni96.myopenid.com/ joboni96

    anong kagagohan ito
    popondohan natin ang eurozone?

    mayaman ang mga iyan
    gamitin mo na lang yan
    pambayad sa utang natin

    gunigundu RESIGN

    • si makising

      to naman. wala na nga utang ang Pilipinas sa IMF eh. bago sana mag-ngalngal, i-google mo muna.

      • http://joboni96.myopenid.com/ joboni96

        sa imf lang ba may utang?
        bago google
        mag isip ka muna

  • Anonymous

    Why?

  • Anonymous

    One of Gloria’s undeniable legacy!  Removal from IMF!  Thanks Gloria!

    • Anonymous

      bwahahahaha! natawa naman ako sa sinabi mo….pawis ng mamamayan ito, lalo na ng OFW.
      Pati ba naman honor at compliment, NANAKAWIN PA RIN NI GMA????!!!!!!
      SON-OF-A-BIATCH!

  • http://pulse.yahoo.com/_IAQLUSKZ7TH4C2FHOD7SLQONQ4 bong

     A reversal of fortune.   Cheers.

  • Anonymous

    Thanks GMA, Philippines is now a net creditor …

    • http://profile.yahoo.com/LBWWXNBJ5FGP4X6A6ATMUI66GM A Yahoo! user

      BIG THANK YOU TO ALL THE OFWs WHO HAVE BEEN FAITHFULLY REMITTING THEIR EARNINGS BACK TO THEIR LOVED ONES IN THE PHILIPPINES. GMA HAD NOTHING TO DO WITH THE PHILIPPINES NOW BEING A NET CREDITOR.

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
advertisement