Today, Congresswoman Maxine Waters (D-CA), Chairwoman of the House Committee on Financial Services, issued the following statement applauding the commitment by Treasury Secretary Janet Yellen to pursue a new allocation of Special Drawing Rights (SDRs) by the International Monetary Fund (IMF).
“I am very pleased by Secretary Yellen’s decision to seek a multilateral agreement to support a new allocation of Special Drawing Rights (SDRs) at the International Monetary Fund (IMF) to provide a liquidity boost to developing and emerging economies and facilitate a path to recovery from the COVID-19 pandemic. Unfortunately, the Trump Administration rejected international cooperation in response to the global crisis and blocked any consideration of a new SDR allocation by the IMF. Secretary Yellen’s decision demonstrates a renewed U.S. commitment to global economic cooperation, as an expansion of SDRs will help developing and emerging economies cope with the health and economic impacts of the coronavirus and facilitate a path to recovery from the pandemic. Last year, I cosponsored an amendment, led by Representative Jesús “Chuy” García, which passed the House twice, supporting an allocation of 2 trillion SDRs. But the Administration could support up to a $650 billion issuance of SDRs without Congressional approval, and I urge Secretary Yellen to use every tool at her disposal to help vulnerable countries combat the COVID-19 pandemic and revitalize the U.S. and global economy.
“While there is a long road ahead for all of us, I look forward to working with Secretary Yellen to implement policy that supports SDRs and promotes U.S. leadership on this issue.”