Brazil to Repay IMF Loans Two Years Early
Brazil has said it plans to pay off its entire $15.5bn (£8.7bn) debt to the International Monetary Fund (IMF) by the end of the month.
The move will clear the country’s obligations to the Washington-based lender two years ahead of schedule.
The Brazilian government said the early loan repayment reflected the improving performance of the country’s economy.
It marks an economic turnaround for Brazil, which obtained IMF loans in 2002 to avoid defaulting on its debts.
Finance Minister Antonio Palocci said Brazil would fund the early repayment of its IMF debt from its reserves, which have swelled to $66.7bn from just $15bn two years ago.
“The repayment will save more than $900m in interest costs,” Mr Palocci said.
Source: BBC.
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