Saudi Arabia supports IMF proposal to boost global reserves by $650bn

This would support efforts for economic recovery by providing additional liquidity to the global economic system. (Shutterstock)

RIYADH: Saudi Arabia supports the International Monetary Fund (IMF) proposal to allocate new special drawing rights worth $650 billion to increase reserves, said Finance Minister Mohammed Al-Jadaan, during his participation in The Spring Meetings 2021, Al Arabiya reported.
This would support efforts for economic recovery by providing additional liquidity to the global economic system, he said.
Special drawing rights were set up by the IMF in 1969 and are intended to supplement the money reserves of member countries.
The IMF this week raised its forecast for economic growth in the Kingdom to 2.9 percent from 2.6 percent.
The Kingdom will do what it takes to accelerate the recovery and will commit to economic and structural reforms guided by Vision 2030 to achieve sustainable growth, he added.
Al-Jadaan emphasized the economic recovery in the second half of last year, driven by the non-oil sector and a drop in the unemployment rate.
The minister also stressed the importance of focusing efforts and actions on debt risk management to help countries address vulnerabilities, especially in low-income countries.
He urged the IMF to continue its work to mitigate the negative effects of the pandemic around the world.