Suppose the following would fail just as much (or just as predictable)
as Asian or Russian fiasco....What next? Inconceivable?
IMF, G-7 May Provide $26 Billion Credit Line for Latin America
IMF, G-7 May Provide $26 Billion Credit Line for Latin America
Brasilia, Brazil, Sept. 15 (Bloomberg) -- The International Monetary Fund and Group of Seven industrial nations may make a credit line of at least $26 billion available to Latin America, Brazilian Finance Minister Pedro Malan said.
The IMF, G-7 and Inter-American Development Bank are part of a concerted effort to placate concerns about a possible default on debt sold by countries in Latin America, Malan said. He didn't say how much the IADB could provide. ''If well conducted, as I'm sure it will be, this operation may make resources available to be drawn if necessary by countries that may feel the need,'' Malan said in English in an interview in his offices at the Finance Ministry in Brasilia.
Malan said the IMF would provide $10 billion and the IMF- backed General Agreement to Borrow would provide another $16 billion, he said.
The minister said that Brazil doesn't need to be bailed out or is seeking funds. He also said the country won't devalue its currency, impose controls on capital flows or let the real to float. ''We won't devalue,'' he said. ''You won't see a maxi devaluation.'' |
