Union of Comoros

Tropical Cyclone Kenneth struck Comoros on April 23-24. The cyclone caused several casualties; displaced thousands; and damaged substantial parts of the building stock, infrastructure, and plants used in subsistence and commercial farming, thereby lowering productive capacity. Request for Fund support. Reflecting the large budgetary and external financing gaps arising from emergency assistance and reconstruction needs, the authorities are seeking financial assistance under the Rapid Credit Facility (RCF) and Rapid Financing Instrument (RFI) exogenous shock windows. Comoros’ qualification is based on urgent balance of payments needs following a severe natural disaster. In the attached letter, the authorities request a disbursement under the RCF and purchase under the RFI of a combined SDR 8.9 million, equivalent to 50 percent of quota, with the full amount to become available upon Board approval. Staff supports this request. IMF involvement in the international effort to assist Comoros will play also a catalytic role in securing grants from Comoros’ development partners.