IMF's $271 million support to help rebuild Burundi's economy after years of political unrest

<h2>The International Monetary Fund (IMF) Executive Board approved a 38-month agreement under the Extended Credit Facility (ECF) for Burundi with access to 130% of the quota, equivalent to SDR 200.2 million (about US$271 million).</h2>, <span>The seal for the International Monetary Fund in Washington, DC.</span>, <p>A $271 million Extended Credit Facility for Burundi has been granted by the executive board of the International Monetary Fund, with an immediate delivery of over $62 million, the IMF announced late on Monday.</p>, <p>The ECF will support the authorities' reform agenda aimed at reducing debt vulnerabilities, recalibrating exchange rate and monetary policies to restore external sustainability, and strengthening inclusive economic growth and governance. The ruling permits a payout of SDR 46.2 million, or approximately US$ 62.6 million, right away.</p>, <p>The loan facility, according to the IMF, would assist Burundi's reform plan and help to resolve the country's ongoing balance of payments issues. It will also help to strengthen external buffers, after years of violence and political unrest under the former leader Pierre Nkurunziza, which left important industries ravaged the nation's economy is just now beginning to recover.</p>, <p>The ECF agreement aims to rebalance Burundi's macroeconomic policy mix, according to the government. By combining the official and black markets for currency rates and liberalizing the foreign exchange market, they intend to restore external sustainability while being aware of banking sector weaknesses.</p>, <p>Burundi will benefit from the agreement in that it will be able to handle its ongoing balance of payments issues, lessen its reliance on debt, and manage the impact of recent internal and external shocks. The economic recovery in Burundi following COVID-19 has slowed down but is still strong. The war in Ukraine's fallout has led to a dramatic rise in commodity prices and pressures for domestic inflation.</p>, <p>The primary sector of Burundi has been damaged by dome