IMF to mull cutting fees on major borrowers

The International Monetary Fund (IMF) is set to discuss reducing fees for its largest borrowers amid concerns over escalating costs due to higher interest rates.

The IMF board, comprising 24 members, will review options on Monday to ease surcharges for nations exceeding borrowing limits or extending repayment under IMF programmes.

Sources told Bloomberg the meeting will begin discussions on fee reviews, with no immediate decisions expected. These fees, meant to deter over-reliance on IMF financing, have surged due to global interest rate hikes, imposing significant costs on countries like Argentina, Egypt, and Ukraine. Moreover, the US, a major IMF shareholder, has signalled readiness to reconsider these fees.

Attribution: Bloomberg