The Executive Board of the International Monetary Fund (IMF) on Thursday approved the IMF’s administrative and capital budgets for financial year (FY) 2022, beginning May 1, 2021, and took note of indicative budgets for FY 2023–24.
“The FY 2022 budget is set in the context of a global economic outlook that is marked by high uncertainty and the likelihood of uneven recovery, with many countries facing daunting crisis legacies. The budget provides for continued Fund support for its membership with the immediate crisis response and to navigate a safe exit from the crisis,” the Fund said in a statement.
It added: “The approved net administrative budget for FY 2022, which covers all administrative expenses less receipts (primarily from external sources to help support capacity building activities and excluding lending income), has been set at US$1,214 million. The approved FY 2022 budget sustains crisis response and provides incremental resources for long-term priorities within an unchanged resource envelope in real terms for the tenth year in a row, measured relative to the IMF’s budget deflator (with the exception of a small (0.6 percent) increase in FY 2017 to meet rising information and physical security costs). The budget is built on extensive reprioritization and savings—including from modernization. In light of immediate crisis-related needs, the Executive Board has also approved a temporary increase in the maximum amount of unused budget resources that can be carried forward from previous years from 5 to 8 percent of the underlying budget.
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“The FY 2022 capital budget is set at US$79 million and provides financing for building facilities and information technology capital projects. This includes projects to modernize digital platforms and tools. In response to the industry shift towards cloud-subscription based information technology solutions, the Board approved a change in the budgetary treatment of these expenses.”