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Norway to provide $9.4b loan to IMF

Updated: 2011-12-22 01:10

(Xinhua)

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OSLO - Norwegian Prime Minister Jens Stoltenberg on Wednesday announced that Norway would provide a loan of 55 billion Norwegian kroners ($9.4 billion) to the International Monetary Fund (IMF) to safeguard the global economy.

"Norway has today offered up to 6 billion Special Drawing Rights (SDR) to the International Monetary Fund, as a bilateral loan to contribute to stabilizing the European and global economy, and thus also to safeguard the Norwegian economy and Norwegian jobs," said Stoltenberg at a press conference.

The Norwegian loan, which needs approval from the country's parliament, will be part of the international effort to ensure the IMF has sufficient lending capacity to assist member countries with emergency funding, which is vital for countries in Europe, according to the Norwegian prime minister.

"Many of Norway's trade and cooperation partners are in a difficult economic situation. We have a strong interest in international economic and financial stability," said Stoltenberg.

Norway's loan offer is conditional, depending on a broader international effort, said a press release from the prime minister's office.

The eurozone countries promised Monday to make loans totalling 150 billion euros available for the IMF. Several EU countries outside the euro area have also declared their willingness to offer new loans. Countries outside Europe are considering additional contributions.

Norway's loans will be made available to the IMF's general lending operations and are meant to be available for all IMF member countries, said the press release.

In 2009, Norway provided 30 billion Norwegian kroners to the IMF.

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