Continuing its effort to mark its arrival on the global stage, India will provide INR 11,294.6 crore to the International Monetary Fund's New Arrangements to Borrow facility. Government on December 7th sought Parliamentary approval towards this end.
According to IMF, Last year also India provided over USD 2 billion to the IMF's fund to help bailouts in Europe and other parts of the world. As part of efforts to overcome the global financial crisis, in April 2009, the Group of Twenty industrialized and emerging market economies agreed to increase the resources available to the IMF by up to USD 500 billion to support growth in emerging market and developing countries.
IMF said that this broad goal was endorsed by the International Monetary and Financial Committee in its April 25th 2009 communiqué. The increase was made in 2 steps: First, through bilateral financing from IMF member countries; Second, by incorporating this financing into an expanded and more flexible NAB.
According to the IMF website, on September 25th 2009 the G-20 announced it had delivered on its promise to contribute over USD 500 billion to a renewed and expanded NAB.
Currently, the fund has16 active bilateral loan agreements worth about USD 200 billion and 2 active bilateral note purchase agreements for about USD 60 billion. For NAB participants with bilateral credit lines, these credit lines do not add to the total resources available to the Fund under their NAB credit arrangements.