IMF to provide new loan facility, G20 summit agrees

FRIDAY, NOVEMBER 04, 2011
IMF to provide new loan facility, G20 summit agrees

Cannes, France - Leaders of the Group of 20 (G20) major economies agreed that the International Monetary Fund (IMF) should create a new loan facility to help countries facing liquidity crises, diplomats at the G20 summit said on Friday.

 

The so-called Precautionary and Liquidity Line from the IMF would be able to help countries for "up to six months," sources told dpa.
 
Analysts have speculated that Italy - which is solvent but is having to pay ever-higher interest rates to convince markets to buy its government debt - could tap in to the new IMF loan facility.//DPA