The International Monetary Fund (IMF) has announced new measure to help countries protect themselves from the Euro-zone debt crisis.Called the Precautionary and Liquidity Line (PLL), it is designed to help countries with sound economic fundamentals meet short-term financing needs.
PLL replaces IMF's previous lending facility called the Precautionary Credit Line can be used as an insurance against future shocks as well as to address short-term liquidity needs.Funding through the PLL will be capped at five times an individual country's contribution to the IMF, known as its quota, for six-month arrangements and 10 times for two-year facilities.
PLL replaces IMF's previous lending facility called the Precautionary Credit Line can be used as an insurance against future shocks as well as to address short-term liquidity needs.Funding through the PLL will be capped at five times an individual country's contribution to the IMF, known as its quota, for six-month arrangements and 10 times for two-year facilities.
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