The Swiss Federal Council adopted a dispatch proposing that Parliament renew the Confederation’s authority to provide up to CHF 10 billion in international monetary assistance through April 2033. The extension would preserve Switzerland’s capacity to participate quickly in measures to stabilize the global financial system after the current authority expires in April 2028. The Federal Council also approved the potential use of Switzerland’s approximately CHF 90 million share of International Monetary Fund funds to subsidize interest rates on loans to low income countries through the Poverty Reduction and Growth Trust. The funds would be transferred internally within the IMF if members approve the arrangement by a large majority, with no impact on Swiss federal finances.
Swiss Federal Council proposes extending CHF 10 billion international monetary assistance capacity through April 2033
The Swiss Federal Council proposed extending the Confederation’s CHF 10 billion international monetary assistance capacity through April 2033. It also approved the potential use of about CHF 90 million in IMF funds to subsidize interest rates on loans to low income countries, subject to broad IMF member approval.