March 17, 2020

IMF denies Venezuela emergency aid to help fight coronavirus
The International Monetary Fund has rejected Venezuela's request for a $5 billion loan to help it cope with the coronavirus pandemic. Venezuela became the first country to request an emergency loan from the IMF on Tuesday and there are international concerns that its ravaged economy and public services will not cope with the spread of the virus. However, the IMF rebuffed the request, claiming a lack of certainty over the legitimacy of President Nicolas Maduro's government. "Unfortunately, the Fund is not in a position to consider this request," because there is "no clarity" on international recognition of the country's government, the Washington-based institution said. "As we have mentioned before, IMF engagement with member countries is predicated on official government recognition by the international community, as reflected in the IMF's membership. There is no clarity on recognition at this time," the statement said.
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