Bangladesh to be the First Recipient of IMF's Resilience and Sustainability Fund

Bangladesh will be the first Asian country to receive funding from the International Monetary Fund's Resilience and Sustainability Fund.

Barbados was the first country in the world to receive this IMF loan, followed by Costa Rica and Rwanda. Following that, five more countries are on the list to receive RSF loans. Bangladesh is first on the list.

The fund was approved by the IMF board on April 13, 2022, and it went into effect on May 1, 2022. The fund was established to assist low and middle-income countries that are vulnerable to climate change.

This fund, according to the IMF, is for countries with low incomes, high debt burdens, high costs to deal with climate change risks, and development spending deficits.

According to the global lender, borrowing has increased in many low and middle-income countries since Covid-19.

The International Monetary Fund (IMF) is a major financial agency of the United Nations and an international financial institution with 190 member countries headquartered in Washington, D.C. Its stated mission is to "work to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce global poverty."