How Effective Was Assistance to the Vulnerable Countries During the Pandemic? Comparing the Debt Service Suspension Initiative and Special Drawing Rights

Lara Merling () and Kevin Cashman ()
Additional contact information
Lara Merling: The Bucharest University of Economic Studies, Romania
Kevin Cashman: Center for Economic and Policy Research, USA

Ovidius University Annals, Economic Sciences Series, 2023, vol. XXIII, issue 1, 138-145

Abstract: This paper compares the actual and potential resources derived from the G20’s Debt Service Suspension Initiative and the actual and potential resources from International Monetary Fund’s 2021 allocation of Special Drawing Rights. These programs were two main sources of support for 73 vulnerable countries during height of the COVID-19 pandemic. For these countries, Special Drawing Rights provided much greater potential support when compared to the Debt Service Suspension Initiative. Special Drawing Rights deployed more actual resources as well. When these programs are evaluated from the perspective of the countries receiving assistance, Special Drawing Rights are found to have several characteristics that are more desirable. As such, as a tool, Special Drawing Rights have several advantages that should be taken into account during discussions about policy responses to global challenges in the future.

Keywords: International Monetary Fund; SDR; Special Drawing Rights; DSSI; Debt Service Suspension Initiative (search for similar items in EconPapers)
JEL-codes: E02 E60 F33 F53 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://stec.univ-ovidius.ro/html/anale/RO/2023-i1/Section%201%20and%202/19.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ovi:oviste:v:xxiii:y:2023:i:1:p:138-145

Access Statistics for this article

Ovidius University Annals, Economic Sciences Series is currently edited by Spatariu Cerasela

More articles in Ovidius University Annals, Economic Sciences Series from Ovidius University of Constantza, Faculty of Economic Sciences Contact information at EDIRC.
Bibliographic data for series maintained by Gheorghiu Gabriela ().