WASHINGTON May 6 The International Monetary
Fund (IMF) said on Monday Colombia has requested a new flexible
credit line to replace its previous $6 billion two-year program
with the Fund, which should expire this month.
"I share the authorities' view that a successor (flexible
credit line) arrangement would provide Colombia with useful
protection against external tail risks," Nemat Shafik, an IMF
deputy managing director, said in a statement.
"I therefore intend to move ahead rapidly in seeking
approval by the Fund's Executive Board of Colombia's request."
Colombia has never drawn on the credit line, but it provides
a safety net in case the global economy or financial conditions
worsen. Colombia has previously asked the IMF for help in
controlling the flood of "hot money" into the country, which has
pushed up the value of the peso.