The money will be allocated to the neediest countries for health care and economic recovery.
The G7 countries intend to provide financial assistance to the countries that are experiencing the greatest difficulties in the fight against COVID-19. The International Monetary Fund is planning to allocate $100 billion for their needs. This was announced on Friday, June 11, according to Reuters.
The White House noted that the issue will be discussed at the three-day summit in Cornwall when the leaders of the G7 countries will hold a meeting on how to help the world recover from the coronavirus pandemic.
“The United States and our G7 partners are actively considering a global effort to multiply the impact of the proposed allocation of special drawing rights (SDR) on the countries most in need,” the White House said.
It is noted that the allocated amount will contribute to further support for health needs, including vaccination, and will help ensure a greener and more sustainable economic recovery in vulnerable countries, as well as contribute to a more balanced, sustainable, and inclusive global recovery.
The SDR is an IMF reserve asset that can be exchanged for dollars, euros, sterling, yen, and Chinese yuan or renminbi.
French President Emmanuel Macron has called on the other G-7 countries to come to an agreement on the redistribution of $100 billion in SDR in favor of African states.
It was also reported today that the G7 countries will allocate a billion doses of COVID vaccines to the world. And a couple of days ago, it was reported that the United States will buy 500 million doses of vaccines for other countries.