- The Fund’s General Resources Account (GRA) net income is projected to remain strong for FY 2026 and is estimated at about US$2.5 billion (SDR 1.8 billion), before the proposed net income distribution decision and related transfer to the Interim Placement Administered Account (IPAA). Projections of the Fund’s income position remain subject to high uncertainty, including from heightened geopolitical risks and financial market volatility.
- The Executive Board approved the second annual distribution of net income, transferring US$1.90 billion (SDR 1.38 billion) from the GRA into the IPAA established in October 2024 as part of a framework to facilitate the generation of Poverty Reduction and Growth Trust (PRGT) subsidy resources.
- The Executive Board also approved the continuation of the payout from the Endowment Subaccount of the Investment Account to the GRA in an amount of approximately US$206 million (SDR 150 million) to meet administrative expenses.
- Precautionary balances would remain above the medium-term target of SDR 25 billion and are expected to reach about US$35.9 billion (SDR 26.2 billion) by end FY 2026.
- The Executive Board agreed to keep the margin for the rate of charge on IMF lending at 60 basis points over the SDR interest rate for FY 2027–2028.
Washington, DC: On April 28, 2026, the Executive Board of the International Monetary Fund (IMF) completed its annual review of the Fund’s income position for the financial year (FY) ending April 30, 2026.
FY 2026 Income Position and Related Decisions
GRA net income, before the proposed distribution and related transfer of US$1.90 billion (SDR 1.38 billion) into the IPAA, is projected at about US$2.5 billion (SDR 1.8 billion). Total comprehensive income for FY 2026 is projected to reach US$5.2 billion (SDR 3.8 billion), including the estimated pension-related remeasurement gain (US1.9 billion, SDR 1.4 billion) and the estimated retained income in the investment account of US$0.9 billion (SDR 0.6 billion) in addition to GRA net income. Given the positive income position, the Fund’s precautionary balances are expected to increase to US$35.9 billion (SDR 26.2 billion) at the end of FY 2026, above the medium-term target of SDR 25 billion.
The Executive Board adopted several decisions that are relevant to the Fund’s finances. These included decisions to: (i) reimburse costs to the GRA for the expenses of conducting the business of the SDR Department (US$4 million, SDR 3 million) and for the operational cost of administering the Resilience and Sustainability Trust (RST) (US$13 million, SDR 10 million); (ii) transfer investment income from the Fixed-Income Subaccount to the GRA (estimated at US$1,008 million, SDR 736 million) and make a payout of approximately US$206 million (SDR 150 million) from the Endowment Subaccount to the GRA for meeting FY 2026 administrative expenses; (iii) place any pension-related remeasurement gain to the Special Reserve consistent with the framework endorsed in 2022; (iv) distribute US$1.90 billion (SDR 1.38 billion) from net income to place the distribution amount in the IPAA and to facilitate new PRGT subsidy contributions; (v) place residual GRA net income to the Special Reserve; and (vi) authorize the transfer of currencies from the GRA to the Investment Account for investment in the Fixed-Income Subaccount, subject to the conditions under the Articles of Agreement.
Projections of the Fund’s income and precautionary balances remain susceptible to risks stemming from heightened geopolitical tensions, an uncertain global outlook, and financial market volatility. Changes in key assumptions such as Investment Account returns, the discount rate used to measure the Fund’s retirement plan obligations, and plan asset returns can have a significant impact on the actual outcome. The FY 2026 annual financial statements will update the income position for the impact of changes in key assumptions made at the time of the projections.
FY 2027–2028 Income Outlook and Lending Rate
Projections for FY 2027 and FY 2028 point to GRA net income of about US$2.6 billion (SDR 1.9 billion) in both years, before the expected placement of GRA resources into the IPAA. The projections reflect the baseline outlook and are underpinned by the Fund’s diverse income base; however, they remain sensitive to the level and timing of lending as well as to market-driven movements across non-lending income sources. Elevated geopolitical risks, financial market volatility, and sensitivity to key assumptions mean that the outlook remains uncertain.
The IMF’s basic lending rate for member countries’ use of GRA credit is the SDR interest rate plus a fixed margin. The Executive Board agreed to keep the margin for the rate of charge at 60 basis points over the SDR interest rate for FY 2027–2028.
READ MORE: https://www.imf.org/en/news/articles/2026/05/08/pr-26145-imf-executive-board-completes-rev-of-funds-income-position-for-fy26-and-fy27-28
