IMF Approves US 347 Billion Precautionary Line for Morocco

Washington – The International Monetary Fund (IMF) on Friday approved a new two-year arrangement for Morocco under the Precautionary and Liquidity Line (PLL) for US$ 3.47 billion, the Fund said Saturday.The access under the arrangement in the first year will be equivalent to about US$ 1.73 billion, the Washington-based Fun said in a statement.According to the Fund, the new PLL arrangement will provide Morocco with useful insurance against external shocks as the authorities pursue their reform agenda aimed at further strengthening the economy’s resilience and fostering higher and more inclusive economic growth. “The authorities have successfully reduced fiscal and external vulnerabilities and implemented key reforms with the support of two successive 24-month PLL arrangements”, the same source pointed out.Morocco’s first PLL arrangement for US$ 6.21 billion was approved on August 3, 2012. Morocco’s second 24-month PLL arrangement for US$ 5 billion was approved on July 28, 2014.The PLL was introduced in 2011 to meet more flexibly the liquidity needs of member countries with sound economic fundamentals and strong records of policy implementation but with some remaining vulnerabilities. read more