Gloria’s $10B bailout fund is news to WB
Palace: Oops, ’t’was IMF which gave pledge
by Jocelyn Montemayor
Malaya
President Arroyo Arroyo left people puzzled yesterday after countries and institutions said they were unaware of a plan she announced to set up a regional fund to deal with the global financial turmoil.
Arroyo said on Wednesday the World Bank had committed to initially provide $10 billion to a fund to buy toxic debt and help banks in the region hit by the financial crisis.
Arroyo said the 10-member Association of Southeast Asian Nations, its three dialogue partners of Japan, China and South Korea, the Asian Development Bank and the International Monetary Fund could also contribute to the fund.
A World Bank official, however, said the bank has no plans to contribute to the fund, and the Asian Development Bank said it was too early to talk of contributions to the facility because the region remains economically strong.
Asean member Singapore said it was not aware of any such plan.