The graph shows Brazil’s use of IMF credit, denoting drawings on the IMF other than those drawn against the country’s reserve tranche position. Use of IMF credit includes: purchases and drawings under stand-by, extended, structural adjustment, enhanced structural adjustment and systematic transformation facility arrangements, as well as trust fund loans. Data is in US Dollars.
The graph shows that Brazil’s use of IMF credit peaked in January 2003, at $28.32bn and is gradually decreasing, being at $25.03bn in January 2004. The IMF chief, Christine Lagarde, sought support from Latin American countries in 2011 to help contain Europe’s mounting debt crisis. It is thought she wanted to tap into the newfound wealth of Brazil and Mexico to increase the fund’s recourses. She visited Brazil, which is a region that is known to have some resentment over the financial institution due to decades of imposed austerity measures. Roberto Abdenur, a former Brazilian ambassador to the US, said the move marks a “role reversal” for the region.
The graph calculates the total of debt owed to the IMF (IMF Credit used) by Brazil at any moment between the time period stated.