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Recent agreements by international lending and financial institutions: World Bank * The Republic of Costa Rica on Friday reached agreement with the coordinating committee of its creditor banks on a $1.2 billion refinancing package. The signing should be completed in two weeks.The refinancing consists of three key elements: A program to make current $350 million in interest payments by the end of 1983; a program to refinance $650 million in principal past due or coming due.
'THE GLOBAL DEBT PROBLEM HAS NOT GONE AWAY' Much has been written in the wake of the annual meeting of financial bigwigs of the World Bank and the International Monetary Fund of the hard-hearted stance of the United States as it fought last week-end--successfully--to put limits on loans by the IMF to poor Third World countries.Manmohman Singh, the governor of the Reserve Bank of India, was upset enough to call New Delhi about midnight Sunday to get approval for dissociating himself from a compromise agreement.
U.S. Role Expected In Big Loan to IMF The United States is likely to be asked to participate in a 1984 "bridging" loan of $7 billion to the International Monetary Fund, it was disclosed yesterday by Miguel Boyer, chairman of the joint annual meeting of the IMF and World Bank.Boyer, the Spanish minister of finance, confirmed in a meeting with reporters that the IMF would need to borrow the $7 billion from leading industrial nations and Saudi Arabia, in addition to the $6 billion it is now seeking.
Reagan Pressured to Raise IDA Funds Request World Bank President A.W. Clausen yesterday publicly pressured President Reagan to reconsider his administration's refusal to seek no more than $750 million a year for the International Development Association, the World Bank's soft-loan arm.Treasury Secretary Donald T. Regan had said at the annual meeting of the bank and International Monetary Fund, which concluded here yesterday, that the United States will ask for no more than that amount in 1984 because Congress.
Mexico Reaches Accord on $5 Billion Loan The total debt of 101 countries reporting to the World Bank rose 14.5 percent to a record $529 billion last year, the bank said yesterday, but it contended that there is no crisis.In what it described as "an unfashionably positive view," the bank, in issuing its annual "World Debt Tables," says that the external debt of the developing countries poses little threat to the international banking system.It acknowledged the existence.
The Money Business Not very long ago, consumers found it simple to navigate the world of financial services.Banks were banks. Most personal savings were kept in passbook accounts at low, fixed rates. Brokers sold stocks and bonds; insurance agents insured lives, homes, cars and businesses. Credit cards were used to buy gasoline, consumer goods and airline tickets. Only the most sophisticated investors regularly moved beyond these boundaries.
U.S. Considering Appeal to Boost Poor-Nation Aid The Reagan administration is considering an appeal by World Bank President A.W. Clausen to raise its planned commitment for subsidized aid to developing countries from $750 million a year to $1 billion.In effect, bank officials say that a boost of that magnitude for the International Development Association, the bank's soft-loan arm, would trigger larger donations by other countries, leading to a $12.6 billion program over three years, starting next year, instead of $9 billion.
Trends THE RECESSION HAS SLOWED development in many countries, the World Bank said.In its annual report, the 144-nation organization said in many developing countries high priority projects with bank participation have slowed or stopped in the past year because the nation no longer could finance its share. "The impetus toward development in many of its member nations was more sharply broken than at any time since the founding of the institution, as the deepest recession.
World Bank< * A 79.2 million loan to Indonesia World Bank * A 79.2 million loan to Indonesia for stepping up sugar production. The loan will enable Indonesia to increase its sugar production to about 50,000 tons annually and reduce its imports of sugar by about 7 percent. The country, once the world's largest exporter of sugar, has seen a steady decrease in production ever since it suffered extensive factory damage during World War II. The project will provide a livelihood for about 5,000 families, as well as jobs.
WORRIED BANKERS CUT INTERNATIONAL LENDING Concerned that international loans have become riskier, banks reduced their world lending in 1982 and are cutting again this year, the International Monetary Fund said Monday.Affected by the reductions are loans to poor countries, which use them to help keep up their buying in the United States and other developed countries. More affluent countries are increasingly dependent on this market for business and jobs. The fund, in a new study, said the slowdown was due to heightened.
Why Bail Out Citicorp? The average congressman looks down his nose at the International Monetary Fund and the World Bank. With all the troubles he's got in his own district, he asks himself, why should he worry about the international monetary system?Sen. Charles Mathias (R-Md.), who has been trying to give a gentle nudge to congressional authorizations for expanded American support of the IMF, tells me that the first question he's asked by his colleagues on the Hill is:
Administration Seeks Tight Lid On IDA Loans The Reagan administration yesterday officially confirmed that it opposes an annual appropriation for subsidized World Bank loans exceeding $750 million, which would force a sharp curtailment in Bank programs for the neediest Third World countries.A statement to this effect by Deputy Assistant Treasury Secretary Tom Dawson to a closed House Banking subcommittee briefing was the first formal revelation of the administration's position.
LOAN LOSSES CLOSE BANK IN TENN. World's Fair financier Jake Butcher's United American Bank of Knoxville was declared insolvent yesterday because of multimillion-dollar loan losses, making it the fourth-largest commercial bank failure in U.S. history.Tennessee Banking Commissioner Billy Adams closed the centerpiece of Butcher's five-bank empire, allowing the Federal Deposit Insurance Corp. to negotiate a merger with another bank.Butcher, a two-time Democratic candidate.
Washington Post, The (DC) - March 10, 1983 IDA Funds Seen in Trouble Treasury Secretary Donald T. Regan conceded yesterday that an administration request to Congress for $1.3 billion for the World Bank's soft-loan fund, the International Development Association, is in deep trouble.At stake is a $245 million supplemental request for fiscal 1983, plus $1.095 billion for fiscal 1984, to complete the United States contribution to the current IDA loan program, known as IDA-6, which provides low-interest loans to developing nations.