Rwanda is set to benefit from an $11 million debt service relief from the International Monetary Fund for an initial period of 6 months.

The debt relief is part of a move by the global financial institution to offer immediate debt service relief to 25 of the IMF’s member countries under the IMF’s revamped Catastrophe Containment and Relief Trust (CCRT) as part of the Fund’s response to help address the impact of the COVID-19 pandemic.

The Catastrophe Containment and Relief Trust is in position to provide about US$500 million in grant-based debt service relief.

Samba Mbaye the IMF Rwanda Resident Representative told The New Times that they are in the process of mobilizing funds to extend the debt relief further.

"Rwanda will receive about $11 million in debt service relief on its IMF obligations for an initial period of 6 months. The IMF will continue its fundraising efforts and will provide further debt service relief for a period up to 24 months depending on resource availability,” he said.

Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), said that they are working with well-off countries to replenish the resources and boost further their ability to provide additional debt service relief for a full two years.

The IMF in March approved $109.4 million credit to Rwanda.

The emergency assistance is drawn under the Rapid Credit Facility (RCF), which provides rapid concessional financial assistance with limited conditionality to low-income countries.

The fund is budget support that will be utilized in aspects that the government deems necessary and of priority.