South Africa has received the $4.3 billion dollar emergency facility that it secured from the International Monetary Fund, the National Treasury said.
The funds were paid into the government's account at the central bank on Wednesday after being approved by the Washington-based lender on July 27, it said in an emailed response to questions. The South African Reserve Bank is government's banker and will convert the foreign-currency loan into rands to support the country's financing needs.
The IMF loan, the largest emergency disbursement for any country yet to assist with fighting the coronavirus pandemic, is payable over 3.25 to five years at 1.1% interest. It has to be repaid in eight equal installments, the first of which is due at the end of 2023.
The money comes after South Africa confirmed receipt of $1 billion facility from the New Development Bank. The 5 billion rand ($298 million) approved by the continent's biggest multilateral lender, the African Development Bank, is expected in August.
©2020 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
