adminThe IMF said China has offered US$43 billion, while Brazil, Russia, India and Mexico promised US$10 billion each.
Meanwhile South Africa, Turkey, Colombia, Malaysia, New Zealand and the Philippines also promised smaller sums.
China’s contribution was one of the largest ever offered, falling below only Japan’s US$60 billion and German’s US$54,7 billion. Meanwhile, the world largest economy, the US, hasn’t contributed anything.
With the contribution BRICS nations renewed calls for greater voting power at the IMF and World Bank, adding that the money should only be used as a “second line of defence” when existing funds run out. Brazil even threatened to withhold its help, if Europe won’t provide BRICS with a bigger say at the IMF.
“These new contributions are being made in anticipation that all the reforms agreed upon in 2010 will be fully implemented in a timely manner, including a comprehensive reform of voting power and reform of quota shares,” BRICS leaders said in a statement.
The financial help from the dozen countries would provide US$456 billion, exceeding the IMF target of US$430 billion, Christine Lagarde, the IMF chief, said.
Earlier Lagarde said about US$600 billion is needed to battle the crisis, but the IMF managed to secure only US$340 billion during the meeting in Washington in April. — RT.
Online Reporter