UPSC Previous Year Question | Prelims GS | 2022

"Rapid Financing Instrument" and "Rapid Credit Facility" are related to the provisions of lending by which one of the following?

  1. Asian Development Bank
  2. International Monetary Fund
  3. United Nations Environment Programme Finance Initiative
  4. World Bank

Answer

Correct Answer

International Monetary Fund

Explanation

Both RFI and RCF are IMF lending facilities. RFI provides rapid financial assistance to any member country facing an urgent balance of payments need, while RCF provides concessional assistance to low-income countries, under the IMF's Poverty Reduction and Growth Trust.

Topics: economy, imf lending facilities, international finance, rapid financing instrument rapid credit facility