Economic recovery program

Funds will be used for two subprograms: (1) $130 million will be used to repay debts in arrears to the International Monetary Fund (IMF), World Bank, and the Inter-American Development Bank and (2) $113.85 million will bolster the public sector investment budget for construction and repair of essential infrastructure. Local currency will not be generated. The two subprograms will share conditions precedent and covenants relating to the general adoption of a sound economic policy program by the GOP. In addition, the debt repayment subprogram will be conditioned on the adoption of a short-term stabilization program that meets requirements for an IMF stand-by program. The budget support subprogram will be conditioned on policy reforms for medium-term accelerated growth, including those in the areas of public sector finance, privatization, social security, labor policy, and trade and commercial policy. The GOP also agrees to exchange records with the U.S. government on international currency transactions in connection with narcotics and money laundering investigations and proceedings.