CURRENT AFFAIRS

Detailed explanation-1: -Recently, The International Monetary Fund (IMF) approved a preliminary agreement with Sri Lanka on a four-year, USD 2.9 billion bailout package which is aimed at restoring economic stability and debt sustainability for the crisis-ridden south Asian nation.

Detailed explanation-2: -B… Argentina is the biggest debtor to the IMF, with a total outstanding debt of $42.2bn. The country has had a long and troubled relationship with the IMF, with a history of equally spectacular fall-outs and bail-outs. At the turn of the century, the IMF made $88.3bn available to bail out the country’s ailing economy.

Detailed explanation-3: -IMF loans are meant to help member countries tackle balance of- payments problems, stabilize their economies, and restore sustainable economic growth. This crisis resolution role is at the core of IMF lending.

Detailed explanation-4: -On 1 March 1947, the IMF began its financial operations, and on 8 May France became the first country to borrow from it.

Detailed explanation-5: -Sri Lanka will not receive an International Monetary Fund loan until it reaches debt agreements with China and India, its central bank governor said. The IMF reached staff-level agreement with Sri Lanka on a $2.9 billion package in September, but its executive board has not yet approved the loan.