Brazil loan package talks seen lasting all week
Reuters, Tuesday, November 03, 1998 at 20:55
WASHINGTON, Nov 3 (Reuters) - Brazilian finance officials
negotiating the terms of a multibillion-dollar loan deal with
the International Monetary Fund said on Tuesday they expected
to continue in Washington through the end of the week.
The Brazilian negotiators led by Finance Minister Pedro
Malan's top aide, Amaury Bier, said they continued to work on a
letter of intent laying out Brazil's policy commitments.
Bier would not comment on where they were in the talks.
The letter of intent would specify economic targets and the
amount of financial aid Brazil thinks it needs to see itself
out of the woods in the current world credit crunch.
Brazil's government, which has sustained severe pressure on
the currency since the Russian default in August, said on
Friday it hoped to have an agreement "within a few days."
The international package is expected to include at least
$30 billion in loans from the IMF, the World Bank, the
Inter-American Development Bank and a new contingency fund
credit line proposed last week by the G7 industrial nations.
Brazil, the world's eighth largest economy, needs the
credit to recover investor confidence and stave off fears of a
devaluation.
Copyright 1998, Reuters News Service |
