The International Monetary Fund, IMF has granted debt relief to 25 countries, mostly African nations with the exception of Nigeria.
IMF Managing Director Kristalina Georgieva in a statement said it would provide 500 million dollar in grant-based debt service relief to these countries.
It listed the beneficiaries as Afghanistan, Benin Republic, Burkina Faso, Central African Republic, Chad, Comoros, D.R Congo., The Gambia, Guinea, Guinea-Bissau, Congo, Haiti, Liberia, Madagascar, Malawi, Mali, Mozambique, Nepal, Niger Republic, Rwanda, São Tomé and Príncipe, Sierra Leone, Solomon Islands, Tajikistan, Togo and Yemen.
Meanwhile, the fund has also advised commercial banks to restructure loans in a bid to mitigate the impact of the COVID-19 pandemic.
According to a report entitled ‘Maintaining Banking System Safety amid the COVID-19 Crisis’, IMF Director of the Monetary and Capital Markets Department, Tobias Adrian, called for the restructuring of loans extended to sectors that were adversely affected by the pandemic.
Adrian called on regulators and supervisors to also remind banks about flexible credit risk management.