Poverty Reduction and Growth Trust (PRGT) Pledges Linked to SDR 700 Million Distribution of Reserves Associated with Gold Sales

Last Updated: March 28, 2016

Under a plan initially launched in 2009 aimed at raising concessional lending capacity to US$17 billion over the period 2009-2014, the Fund decided to distribute to the membership in proportion to their quota shares SDR 700 million (about US$1.1 billion) in reserves attributed to a part of the profits from its 2009-2010 gold sales program. This distribution was subject to the provision of satisfactory assurances by members that they will make new concessional lending subsidy contributions equivalent to at least 90 percent of the amount distributed—i.e. SDR 630 million (about US$978 million). This threshold was reached on October 12, 2012 and the distribution was effected on October 23, 2012.

As of March 28, 2016, 145 countries representing 94.94 percent of the proposed distribution had pledged to use their portion of the distribution to subsidize lending to low-income countries, which may currently borrow at zero interest from the Poverty Reduction and Growth Trust (PRGT), the IMF’s concessional lending vehicle.

On September 28, 2012, the IMF approved the distribution of SDR 1.75 billion from the General Reserve attributable to the remaining windfall gold sales profits as part of a strategy to ensure the longer term sustainability of the PRGT.

• Partial Distribution of the General Reserve Attributed to Windfall Gold Sales Profits
• IMF Executive Board Approves Distribution of US$1.1 Billion Gold Sales Profits to Facilitate Contributions to Support Concessional Lending to Low-Income Countries
• Update on the Financing of the Fund’s Concessional Assistance and Debt Relief to Low-Income Member Countries
• IMF Executive Board Approves Distribution of US$2.7 Billion in Remaining Windfall Gold Sales Profits as part of a Strategy to Make Low-Income Lending Sustainable
• IMF Gold Sales – Q&A
• IMF Backs New Package To Support World's Poorest During Crisis
• Factsheet: Gold in the IMF