HC Deb 27 July 1979 vol 971 cc554-5W
Mr. Rowlands

asked the Chancellor of the Exchequer whether he will instruct Her Majesty's Government's representatives at the International Monetary Fund to call for an investigation into the use of International Monetary Fund funds provided to the Somoza regime during the weeks prior to his downfall; and whether Her Majesty's Government will approve International Monetary Fund support for the new Nicaraguan regime.

Sir Geoffrey Howe

No.

All members of the IMF are expected to use the credit made available under IMP facilities in support of an economic programme agreed with the Fund.

Under the terms of the standby arrangements of 14 May, the Nicaraguan authorities can still draw a further $33 million from the IMF, if they have observed the performance criteria laid down in the original agreement. The IMF executive directors would consider in the normal way any further applications for assistance from the Nicaraguan authorities.

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