Fw: White House PR: Details of Brazil plan (fwd)

[Robert Weissman <rob@essential.org>]

> U.S. Newswire 
> HEADLINE: White House Fact Sheet on International Support for Brazil 
> 
> BYLINE: White House Press Office, 202-456-2100 
> 
> DATELINE: WASHINGTON, Nov. 13 
> 
> BODY: 
> Following is a fact sheet on international support for Brazil, released 
> today by the White House: 
> 
>                              FACT SHEET 
>                   International Support for Brazil 
>    1. IMF -- The IMF assistance to Brazil totals approximately $18 
billion.  
>  The structure of the
> package is in line with the enhanced IMF facility proposed by President 
> Clinton last month and
> recently endorsed by the G-7.  Of the $18 billion total, 70 percent will 
be 
> provided through a
> Supplemental Reserve Facility at interest rates 300-500 basis points above 

> normal IMF lending
> rates, and 30 percent will be provided via a 3-year stand-by arrangement. 
>   
>    Total IMF contribution                  $18.0  billion 
>    -------------------------------------  ------------------ 
>    First disbursement amount               $ 5.25 billion 
>    (After approval of Brazil's program            SRF-$4.25 billion 
> 
>     by the IMF Executive Board)                   SBA-$0.75 billion 
>   
>    -------------------------------------  ------------------ 
>    Second disbursement amount              $ 5.25 billion 
>    (Contingent on successful IMF review           SRF-$4.25 billion 
> 
>     by February, 1999)                            SBA-$0.75 billion 
>   
>   -- 
>   2.  Multilateral Development Banks -- The World Bank and Inter-American 
> Development Bank
> contributions will provide assistance to Brazil to support improved social 
> safety nets and banking
> reform, among other things: 
>   
>                                                  Inter-American 
>   
>                                World Bank       Development Bank 
>   
>                             -----------------  ---------------- -- 
>   
>    Total contribution         $4.5   billion     $4.5 billion-a 
> 
>    Disbursed by end-1998      $1.375 billion          -- 
>    Disbursed by end-1999      $3.0   billion     $3.7 billion-b 
>    Note-a: Includes $1.1 billion loan approved in Sept. 1998. 
>    Note-b: Includes $300 million of the $1.1 billion loan. 
>    -- 
>    3.  Bilateral financing -- Twenty countries will provide financing, in 
> most cases to guarantee credits
> extended to Brazil by the Bank for International Settlements (BIS).  The 
> total amount is
> approximately $14.5 billion, of which the U.S. contribution will be $5 
> billion.  We anticipate the
> following countries will offer bilateral support. 
>   
>    Austria 
>    Belgium 
>    Canada 
>    Denmark 
>    Finland 
>    France 
>    Germany 
>    Greece 
>    Ireland 
>    Italy 
>    Japan 
>    Luxembourg 
>    Netherlands 
>    Norway 
>    Portugal 
>    Spain 
>    Sweden 
>    Switzerland 
>    U.K. 
>    U.S. 
>