Economic Programs and Support Framework
The Arab states instituted the Arab Monetary Fund (AMF) in their desire to lay the monetary foundation of Arab economic integration and to accelerate the process of economic development in all Arab countries. The Fund’s Articles of Agreement place its lending activity at the top of the means available for its use in order to achieve its objectives. The Fund also supports reform programs by providing technical assistance to help member countries formulate policies and reforms to achieve desired goals.
What we do
The Arab Monetary Fund works with member countries to support economic adjustment and reform efforts in areas linked to macroeconomic stability, public finance, the financial and banking sector, trade reform, liquidity needs, and small and medium enterprise development. These programs are designed to help member countries address economic imbalances, strengthen resilience, and enhance the effectiveness of national reform efforts.
How we work
The Arab Monetary Fund’s support is delivered through structured facilities and close consultation with national authorities. This includes assessing economic conditions, agreeing on appropriate policies and measures where required, and monitoring progress during the implementation period. This approach reflects the Arab Monetary Fund’s strategic role as a Effective Lending Provider, supporting stability while aligning financial facilities with reform objectives.
Program Support Framework
The programs support framework is based on the Arab Monetary Fund’s mandate to assist member countries in addressing balance of payments disequilibria and supporting economic stability.
The framework includes two main areas:
Balance of Payments Support
Facilities aimed at helping member countries address overall balance of payments deficits and maintain external stability.
Reform-Oriented Facilities
Facilities that support reforms in priority areas within the Arab Monetary Fund’s mandate, including public finance, the financial and banking sector, trade reform, short-term liquidity needs, and the enabling environment for small and medium enterprises.
Loans
Automatic
Provides rapid financial support to help member countries address temporary balance of payments needs.
Ordinary
Supports member countries in addressing overall balance of payments deficits and maintaining macroeconomic stability.
Extended
Provides medium-term financial support linked to economic and financial reform efforts.
Compensatory
Supports member countries in addressing temporary external shocks affecting export revenues or external receipts.
Facilities
Structural Adjustment Facility
Supports structural reform programs aimed at strengthening economic performance and sustainability.
Trade Reform Facility
Supports reforms related to trade liberalization and the enhancement of trade-related policies and frameworks.
Oil Facility
Provides financial support to help member countries address challenges arising from fluctuations in oil markets and related external impacts.
Short-Term Liquidity Facility
Provides short-term financial support to help member countries manage urgent liquidity pressures.
SME Conducive Environment Support Facility
Supports reforms and initiatives aimed at improving the business environment for small and medium enterprises.
Impact
Supporting macroeconomic stability
Enhancing economic and financial stability across member countries.
Addressing balance of payments pressures
Supporting countries in managing external financing challenges.
Strengthening economic resilience
Enhancing the ability to respond to economic shocks and challenges.
Supporting reform implementation
Facilitating the execution of economic and financial reform programs.
Enhancing financial and institutional sustainability
Strengthening financial frameworks and institutional effectiveness.