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IMF approves €174mln in emergency support to Albania to combat COVID-19 pandemic

IMF approves €174mln in emergency support to Albania to combat COVID-19

The International Monetary Fund (IMF) said it has approved a $190 million (€173.7mln) loan for Albania to address the urgent balance of payment needs caused by the Novel coronavirus outbreak. Albania’s economic activity is likely to contract significantly in 2020 before it bounces back in 2021, but the economic outlook is subject to uncertainty and serious downside risks due to the rapid developments, the IMF said in a statement on Friday.

“A sizeable increase in the fiscal deficit of 2020 is necessary to limit the impact of COVID-19. It will be critical to ensure adequate spending for healthcare and support for the people and firms that are hurt by the COVID-19 pandemic. The Albanian authorities remain committed to ensuring macroeconomic stability. Once the shocks have been overcome, it will be important to keep public debt on a clear downward path,” Tao Zhang, IMF’s deputy managing director, and the acting chair said in the statement.  

 

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