HC Deb 20 December 1982 vol 34 cc309-10W
Mr. Arnold

asked the Chancellor of the Exchequer if he will place in the Library a copy of the most recent guidelines of the International Monetary Fund regarding extended arrangements, mentioned in his reply to the hon. Member for Hazel Grove on 7 December, Official Report, c. 494.

Mr. Bruce-Gardyne

The orginal 1974 guidelines and the 1976, 1979 and 1981 reviews are set out at PP26–31 of 'Selected Decisions of the International Monetary Fund' (Ninth Issue, 1981), a copy of which is being placed in the Library.

The 1982 review stated that the provisions of the extended fund facility remain appropriate in present circumstances. The fund undertook to review the provisions further not later than the time when the eighth general review of quotas becomes effective.

Mr. Arnold

asked the Chancellor of the Exchequer how many applications for extended arrangements, and from which countries, are currently under consideration by the International Monetary Fund.

Mr. Bruce-Gardyne

The executive board is to consider Mexico's application for an extended arrangement on 23 December. No other extended arrangements are currently on the board's agenda.

Mr. Arnold

asked the Chancellor of the Exchequer what is the policy of Her Majesty's Government on increasing the International Monetary Fund's quotas.

Mr. Bruce-Gardyne

As my right hon. and learned Friend made clear in his speech at the IMF annual meetings, it is the view of HMG that quotas need to be increased substantially. The increase should be large enough to enable the fund to perform its functions in an effective manner in 1980s. While in my hon. and learned Friend's view a doubling of quotas would be excessive, a 50 per cent. increase could be regarded as the minimum required.

Mr. Arnold

asked the Chancellor of the Exchequer whether the rules of the International Monetary Fund permit loans made by the fund to be conditional upon further loans being made available from other sources.

Mr. Bruce-Gardyne

I shall let my hon. Friend have a reply as soon as possible.