Ministry of Finance press release: Agreement has been reached on a letter of intent for the second review under Iceland’s Stand-By Arrangement with the IMF. The review is tentatively scheduled to be discussed by the IMF’s Executive Board on April 16. Upon completion of the review, Iceland would become eligible to draw a third disbursement under the arrangement, in an amount of SDR 105 million (about USD 159 million).
Icelandic authorities have issued a Letter of Intent to the Fund that describes the progress made so far in limiting the impact of the crisis and setting the stage for a sustained recovery. The LoI will be made public after the Board approval.
In recent weeks, the authorities have been working on eliminating obstacles in the way of completing the second review of the Stand-By Arrangement, most recently with meetings of the Minister of Economic Affairs with the Fund’s Managing Director and Executive Directors in Washington on Wednesday.