Analyses focus on current issues of particular relevance to Danmarks Nationalbank’s objectives. The analyses may also contain Danmarks Nationalbank’s recommendations. They include our projections for the Danish economy and our assessment of financial stability. Analyses are targeted at people with a broad interest in economic and financial matters.
The International Monetary Fund, IMF, and its financial relations with Danmarks Nationalbank
The IMF works to promote global economic and financial stability. An important part of its role is advising and providing loans to countries in crisis. To fulfil this task, the IMF needs to have sufficient resources available to provide loans. Therefore, Denmark has a strong commitment to the IMF and contributes funding to the IMF. (The English version is coming soon).
Key messages
Why is it important?
Denmark is a small open economy and is thus highly influenced by the international economy. Therefore, Denmark has a strong interest in ensuring that the IMF is well-functioning and has sufficient resources to provide loans to prevent and manage economic and financial crises. Accordingly, Danmarks Nationalbank makes resources available to the IMF on behalf of Denmark. In this context, Danmarks Nationalbank has prepared this analysis as a reference work on the IMF’s lending resources and the financial relations between Danmarks Nationalbank and the IMF.
Denmark’s relations with the IMF are handled by Danmarks Nationalbank in cooperation with the Danish Ministry of Economic Affairs and the Danish Ministry of Finance. Danmarks Nationalbank manages Denmark’s financial accounts with the IMF.
The analysis reviews Danmarks Nationalbank’s financial accounts with the IMF and how new and upcoming agreements will affect Danmarks Nationalbank’s loan commitments to the IMF. In addition, the appendix of the analysis explains how the financial accounts with the IMF are included on Danmarks Nationalbank’s balance sheet and in the foreign exchange reserve. The appendix can therefore be read as a supplement to Danmarks Nationalbank’s annual report.
Danmarks Nationalbank’s financial engagements with the IMF are calculated in SDRs, which is the IMF’s accounting unit. In the analysis, SDRs are converted to Danish kroner using the exchange rate on 30 December 2024: Kr. 932.89 per SDR 100.
"As part of ensuring that Denmark has a robust economy, Danmarks Nationalbank makes resources available to the IMF, which the IMF can lend to countries in crisis"
Main chart
Danmarks Nationalbank’s outstanding loans to the IMF
Note:
Nominal loans outstanding as of 31 December each year. Calculated using the exchange rate on 30 December 2024: Kr. 932.89 per SDR 100.
Source:
IMF, Statistics Denmark and own calculations.