2011年-IMF国际货币组织全球_A_New_Rule_for_Setting_the_Margin_for_the_Basic_Rate_of_Charge_24页_713kb

Summary of the IMF's New Rule for Setting the Margin for the Basic Rate of Charge

I. Introduction

The IMF is proposing a new rule for setting the margin for the basic rate of charge as part of its ongoing reform of the income model. The new rule aims to align the margin with the Fund's intermediation costs and support reserve accumulation, rather than covering all administrative expenses as previously done. This change reflects the evolving financial structure and the need for a more stable and predictable income model.

The proposal follows significant progress in implementing the new income model, including the completion of limited gold sales, the adoption of a broader investment authority, and the establishment of a more transparent rules-based framework for assessing reserve adequacy. The new rule is intended to be effective from FY 2013 onwards.

II. Background

A. The Basic Rate of Charge and Margin

The basic rate of charge on IMF lending consists of the SDR interest rate and a margin, which currently stands at 100 basis points. This margin was previously set to cover all administrative expenses and meet a net income target of 5 percent of the Fund's reserves at the start of the financial year.

However, due to declining credit outstanding and the need to maintain a reasonable rate of charge relative to market conditions, the margin was adjusted under an exceptional circumstances clause. The new rule seeks to streamline this process by focusing on intermediation costs and reserve accumulation, rather than covering all expenses.

B. Principles for Setting the Margin in the New Income Model

The Executive Board has endorsed the following principles for the new margin setting framework:

• The margin should be set in a stable and predictable manner.
• It should cover only intermediation costs and support reserve accumulation.
• A cross-check mechanism should be developed to ensure the margin remains reasonably aligned with long-term credit market conditions.

The margin has been set since FY 2009 in line with these principles, but under the exceptional circumstances clause. The new rule is expected to eliminate the need for such exceptions by providing a more transparent and consistent framework.

III. Proposed Framework for the New Rule

A. Intermediation Costs

Intermediation costs are defined as the costs associated with the Fund's Generally Available Facilities (GAF). These include:

• Direct personnel and travel expenses
• Support and administrative costs
• Governance costs
• Capital and depreciation expenses

The estimated intermediation costs for FY 2012 are US$117 million, up from an average of US$110 million over the past three years. The increase is due to the rise in the number of GRA arrangements, though the cost per arrangement has decreased slightly due to improved costing methodologies and policy changes.

Box 1 outlines the methodology for estimating intermediation costs, which includes the use of the Analytical Costing and Estimation System (ACES) and the Time Reporting for Analytical Costing and Estimation System (TRACES). These systems have improved the accuracy and comparability of cost estimates over time.

B. Other Lending Income to Cover Intermediation Costs

In addition to the margin, service charges and commitment fees contribute to the Fund's operational lending income. Service charges have increased significantly due to higher levels of Fund credit outstanding, which reached a historic high of SDR 80 billion in 2011.

Commitment fees, which are refundable if drawings are made under an arrangement, have also increased and become more variable, particularly with the introduction of Flexible Credit Line (FCL) arrangements. The current fee structure includes:

• 15 bps for access up to 200% of quota
• 30 bps for access between 200% and 1,000% of quota
• 60 bps for access beyond 1,000% of quota

Staff proposes that commitment fees should be treated as a source of income for reserve accumulation rather than for covering intermediation costs, to avoid volatility in the margin setting process.

C. Reserve Accumulation

Reserve accumulation is influenced by the lending cycle. During high lending periods, the margin and service charges generate more income than intermediation costs, supporting the build-up of precautionary balances. In contrast, during low lending periods, the margin becomes the main source of income for covering intermediation costs and reserve accumulation.

Currently, reserve accumulation is lower than it would be under the full implementation of the new income model due to the ongoing phase-in of reforms, including the delayed operation of the gold endowment and the incomplete reimbursement of the General Resources Account (GRA) for PRG Trust expenses. The new framework does not set an explicit annual target for reserve accumulation but instead relies on the Executive Board's judgment, considering the level of precautionary balances and the expected contribution from other income sources.

IV. Proposed New Rule I-6(4)

The proposed new Rule I-6(4) would set the margin to cover only intermediation costs and support reserve accumulation, while ensuring alignment with long-term credit market conditions. This approach would replace the previous method, which aimed to meet a specific net income target.

The rule includes a cross-check mechanism to ensure the rate of charge remains in line with market conditions, preventing it from being either too high or too low relative to private market borrowing costs. The margin will be reviewed annually, and the new rule is expected to provide a more sustainable and predictable income structure.

Key Tables and Figures

• Table 1 provides a breakdown of income from margin, reserve accumulation, and intermediation costs for FY 2009–2012. It shows that potential reserve accumulation is significantly higher than actual accumulation due to the incomplete implementation of the new income model.
• Table 2 outlines income sources and uses for FY 2011–2012, highlighting the role of surcharges and gold profits in reserve accumulation.
• Figure 1 illustrates the Fund's credit outstanding and net income over the years, showing a decline in credit outstanding and an increase in net income.
• Figure 2 displays the relationship between intermediation costs and the number of programs, showing an upward trend in costs.
• Figure 3 and Figure 4 show the growth of service charges and the variability of commitment fees, respectively.

Conclusion

The proposed new rule for setting the margin for the basic rate of charge is part of a broader effort to reform the IMF's income model. It aims to reduce reliance on lending income, ensure a stable and predictable margin, and support reserve accumulation in line with market conditions. The implementation of the new model is ongoing, with the full transition expected to be completed by FY 2012. The new framework emphasizes judgment and flexibility, while also incorporating more transparent and systematic cost estimation methods.