This paper reviews progress under the Fund’s strengthened cooperative strategy on overdue financial obligations. Total arrears to the Fund declined by SDR 552 million since the last review, owing largely to the clearance of arrears by Liberia in March 2008. While Sudan’s payments in excess of its new obligations falling due to the Fund also contributed to the decline, arrears by Somalia and Zimbabwe increased further. The majority of the arrears to the Fund (85 percent) were to the General Resources Account (GRA).
Reviews progress under the Fund's strengthened cooperative strategy on overdue financial obligations and proposes to extend the availability of the rights approach, which expires on August 31, 2005, by another year. The rights approach remains a potentially important element of the intensified collaborative approach for arrears clearance for the three members that remain eligible, Liberia, Somalia, and Sudan.
This paper provides an annual review of progress under the Fund’s strengthened cooperative strategy on overdue financial obligations and proposes to extend the availability of the rights approach by another year, to end-August 2008. The rights approach could provide a useful mechanism for arrears clearance for the remaining eligible members, depending on their specific circumstances. A draft decision to this effect is provided in Section V.
This paper reviews progress under the Fund’s strengthened cooperative strategy on overdue financial obligations. The level and structure of arrears to the Fund has remained broadly unchanged since the last review. Total arrears to the Fund at end-June 2012 amounted to SDR 1,302.3 million, a decline of SDR 1.6 million from the end-June 2011 level. While payments to the Fund by Sudan and Zimbabwe exceeded new obligations falling due, Somalia’s arrears increased further. All overdue obligations to the Fund at end-June 2012 were due to the protracted arrears cases. Three members remain in protracted arrears to the Fund—Somalia, Sudan, and Zimbabwe. Sudan accounted for the bulk of the arrears to the Fund (76 percent).