Ebola Vaccine First Large Scale Trial In Liberia
2 Feb. 2015 Monrovia, Liberia A health worker injects a woman with an Ebola vaccine during a trial in Monrovia, February 2, 2015. reuters.com

To provide financial relief to the three African nations that were hit hard by the Ebola virus, the International Monetary Fund (IMF) granted debt relief in the amount of $100 million to Guinea, Liberia and Sierra Leone.

The IMF also set up a catastrophe containment relief trust that would make available funds to countries that would reel from epidemic and other natural disasters in the future. The first beneficiaries of the fund are the three countries which would use the money to pay off their debt to the IMF. On top of this, the IMF offered the three Ebola-hit nations another $160 million of new loans that are interest-free.

It encouraged other global lenders to initiate similar action.

Explaining the trust, IMF Managing Director Christine Lagarde, said, “[The trust] aims at enhancing our support to the countries in Africa hit by Ebola, as well as other low-income countries that may be affected by public health disasters in the future. This is a strong example of the IMF demonstrating flexibility and innovation in responding to the needs of our global membership,” quotes the Guardian.

Since the first case occurred in December 2013, but diagnosed in March 2014, the virus has claimed the lives of more than 8,000 people mainly from the three African nations.

Debt campaigners welcomes the move by the IMF, which was in response to pressure from the US, but pointed out that the new loans would actually boost the debt level of the three countries to $620 million from $410 million over the next three years because of the $415 million new loans extended before the announcement.

Jubilee Debt Campaign Policy Officer Tim Jones said, “Grants should be given to cope with the impact of Ebola, not more loans which leave an unjust debt to be repaid over the next decade.”

Jones dared the World Bank to follow IMF’s moves and also cancel debts, amid $11 million that Guinea, Liberia and Sierra Leone are due to pay the bank over the next 12 months. He said it would be scandalous for the World Bank to demand payment of the amount due.

From 2015 to September 2019, Guinea would be spared from paying $30.2 million debt payments, Liberia $36.4 million until November 2018 and Sierra Leone $29.2 million until December 2016, the Jubilee Debt Campaign reckons.

To contact the writer, email: v.hernandez@ibtimes.com.au