Slovak Republic: Community macro-financial assistance

This proposal for a decision aimed to grant a medium-term loan facility of ECU 130 million with a maximum maturity of seven years, with a view to ensuring a sustainable balance of payments situation and strengthening the reserve position. The Commission would be empowered to find the necessary resources on the financial markets and to manage the loan in close consultation with the Monetary Committee. The Commission would also negotiate with the Slovak authorities the economic policy conditions attached to the loan and would verify at regular intervals that this policy was in accordance with any agreement between the International Monetary Fund (IMF) and the Slovak Republic. The loan would be made available to the Slovak Republic in two instalments: the first would be released when the standby arrangement with the Slovak Republic was approved by the Board of the IMF; the second would be released at least two quarters after the release of the first instalment and subject to the Slovak Republic applying the standby agreement satisfactorily. �