EU contributes equivalent of US$199 million to IMF’s trust to provide debt service relief for vulnerable countries facing catastrophic events, including COVID-19 crisis

The EU contributed SDR 141 million—the equivalent of €170 million or US$199 million in international reserve assets called Special Draw Rights (SDRs) created by the International Monetary Fund (IMF)—to the IMF's Catastrophe Containment and Relief Trust (CCRT). The Trust provides grants as debt service relief for countries suffering from catastrophic events, including the COVID-19 crisis.

This disbursement is part of the EU’s broader contribution of SDR 152 million (€183 million or US$215 million) to CCRT. The EU and its member states’ pledges account for more than half of the funding currently committed to the Trust. The CCRT will provide grants to the 29 low-income countries eligible for debt relief that are most vulnerable to the impacts of the COVID-19 crisis. 

The EU also supports a new allocation of SDRs from the IMF in 2021 that focuses on low-income countries, according to European Commission President Ursula von der Leyen’s speech at the 'Meeting of Heads of State and Government on the International Debt Architecture and Liquidity' held on March 29, 2021. 

Press release - European Commission

Transcript - European Commission