Question: Explain it further and give me some examples. Normal Facilities of IMF Reserve Tranche. A member has a reserve tranche position if the IMF's holdings

Explain it further and give me some examples.

Normal Facilities of IMF

  • Reserve Tranche.
    • A member has a reserve tranche position if the IMF's holdings of its currency in the General Resources Account, excluding those holdings that reflect the member's use of IMF resources, are less than its quota.
  • Credit Tranches.
    • IMF credit is subject to different conditionality and phasing, depending on whether it is made available in the first credit "tranche" (or segment) of 25 percent of a member's quota or in the upper credit tranches (any segment above 25 percent of quota).

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