credit tranche

Thus four tranches are available after the reserve tranche has been utilized, each known as credit tranches.

Figure 9.3 and Table 9.3 display the main facilities currently available and show clearly the decline in relative importance of the credit tranches, especially after 1980.

However, the IMF requires increasingly detailed programmes of how the member concerned will rectify its payments imbalance before access to the higher credit tranches is granted.

But countries now have the option of making drawings under a standby arrangement whereby they negotiate access to the credit tranches but only use the facility if and when it is required.

Indeed in December 1976 the UK negotiated a standby facility of SDR 3,360 million ($3,900 million), the maximum amount available under the British credit tranches.

Papandreou confirmed that the EU had released a second credit tranche of 150 million Ecus (175 million dollars), linked to an International Monetary Fund (IMF) structual readjustment agreement.