India yet to decide on $11-bn lending to IMF

If India takes part in $500-billion resource raising programme of International Monetary Fund (IMF), as decided at the G-20 summit in London last week, it will cost the country up to $11 billion (Rs 55,000 crore).

"If the government decides to participate in the new arrangements to borrow, then based on the quota, that ($11 billion) could be the amount which the country will have to commit in principle to IMF," Economic Affairs Secretary Ashok Chawla said here today.

However, Chawla did not elaborate as to when the decision on the issue would be taken.

Leaders of 20 advanced and developing countries decided to treble the resources of IMF from $250 billion to $750 billion, so that the multilateral institution could help the poor and developing economies, which have been hit by the global credit crisis.

India has already said that it would not require any IMF support in the wake of comfortable foreign exchange reserves of about $250 billion.

However, New Delhi has not so far made any commitment towards contributing to the fresh resources of IMF, as was done by China, European Union and Japan.