IMFC calls on private creditors to join debt standstill amid COVID-19 crisis

Washington DC [USA], April 17 (ANI): The International Monetary and Financial Committee (IMFC), the IMF's governing body, has underscored the importance of the Fund in fighting the economic crisis caused by coronavirus pandemic.
At a virtual press briefing during the Spring Meetings 2020, Chair of the IMFC Lesetja Kganyago said an aggressive response is absolutely necessary.
"We are convinced that an aggressive response coordinated through the IMF will lead to more positive economic and humanitarian results than would otherwise be possible," he said.
"Beyond the serious human impact of the pandemic, we agreed today that the economic repercussions will be severe, particularly for emerging markets and developing countries," said Kganyago on Thursday (local time).
IMF's Managing Director Kristalina Georgieva urged world leaders to focuses on social policies that reduce inequality and protect the most vulnerable members of society.
"We simply cannot take social cohesion for granted. We got a lot of support from the membership to help countries' efforts in calibrating their social policies to reduce inequality, protect vulnerable people and promote access to opportunities for all," she said.
"We are in this crisis together and I am so encouraged by the strength of unity that this meeting has demonstrated," said Georgieva while calling on the private sector to do its part in alleviating low-income countries from debt payments.
"With regard to private sector debt, unanimously the IMFC members joined this call for private creditors in the context of low-income countries debt standstill to join with the same reflection on terms," she added.
"And of course, we are very mindful that in this crisis we do need everybody to chip in so we can prevent a risk of unnecessary insolvencies, either at the level of the private sector or when we talk about the capacity of governments to stay strong." (ANI)