The UAE has signed two agreements with the International Monetary Fund (IMF) focused on fostering sustainable development and eradicating poverty worldwide.
On Thursday, during the IMF and World Bank Annual Meetings in Washington, UAE Minister of State for Financial Affairs, Mohamed Al Hussaini, and IMF Managing Director Kristalina Georgieva finalized the agreements.
These agreements will see the UAE contribute to financing the Poverty Reduction and Growth Trust, the IMF’s primary mechanism for offering interest-free financing to low-income nations, as well as the Resilience and Sustainability Trust, which aids low and middle-income countries in building resilience against external shocks and ensuring sustainable growth.
“This move reaffirms the UAE’s commitment to supporting international efforts aimed at sustainable development, poverty eradication, and strengthening the resilience of developing economies in the face of global challenges,” Mr. Al Hussaini stated.
“We are confident that this partnership with the IMF will play a vital role in advancing global sustainable development goals while reinforcing the UAE’s position as a key partner in shaping the global economic landscape.”
Key discussions at the IMF and World Bank Annual Meetings included topics such as poverty, climate change, and artificial intelligence. According to the IMF, lending through the Poverty Reduction and Growth Trust is projected to approach $40 billion this year, benefiting 69 eligible countries.
Given the rising concerns surrounding climate change, the Resilience and Sustainability Trust has gained significant relevance.
“We are confident that this partnership with the IMF will play a vital role in advancing global sustainable development goals while reinforcing the UAE’s position as a key partner in shaping the global economic landscape,” Mr. Al Hussaini reiterated.
In 2023, the UAE pledged $200 million to the IMF’s Poverty Reduction and Growth Trust fund and an additional $200 million to the Resilience and Sustainability Trust during the COP28 climate conference hosted in Dubai.
Mr. Al Hussaini emphasized the significance of the UAE’s participation in the IMF meetings and the importance of the recent commitments.
“Our participation in the annual meetings of the World Bank Group and the IMF brought together global economic and financial leaders,” he explained.
“It offers a valuable platform for exchanging ideas and strategies to tackle pressing global economic challenges.”
