WASHINGTON: The International Monetary Fund on Monday said it is continuing to closely monitor political developments in Niger after a military junta seized power, but has not yet disbursed under normal procedures a $131.5 million loan to the west African country that was approved on July 5.
The IMF has not taken any action in response to last week's coup, but said it continues to monitor the situation in Niger closely.
"We are very concerned about the political events in Niger and its impact on the country and its people," the IMF spokesperson said in an emailed statement.
After a military coup in a member country, the IMF typically waits for consensus among its member countries before taking any new actions, such as suspending operations in the country. A similar situation unfolded after a military coup in Myanmar in early 2021.
On July 5, the IMF's Executive Board approved the new $131.5 million Resilience and Sustainability Facility (RSF) loan to Niger, as well as a $26.5 million disbursement from Niger's three-year Extended Credit Facility (ECF) to complete that loan's third review.
The IMF did disburse the $26.5 million ECF payment to Niger prior to last week's coup. But the spokesperson said that the normal procedures for disbursing the RSF loan had not yet been completed.
The RSF loan, supported by Special Drawing Rights reserves contributions from wealthier countries, was aimed at supporting climate-related investments and reforms to build resilience to climate change and help leverage additional financing.
Both loans are due to mature on June 7, 2025. Niger has so far received about $184 million of the $275.8 million ECF loan.