Sum of Measures 1—5 (Total Package)
|Measure||Amount (Local)||Amount (USD)||Details||Update||Source|
|01 - Liquidity Support info_outline|
|01A - Short-term lending info_outline|
|01B - Support policies for short-term lending info_outline|
|01C - Forex operations info_outline|
|02 - Credit creation info_outline|
|02A - Financial sector lending/funding info_outline|
|02B - Support policies for long-term lending info_outline|
|02C - Loan guarantees|
|03 - Direct long-term lending info_outline|
|03A - Long-term lending info_outline|
|03B - Forbearance|
|04 - Equity support info_outline|
|05 - Government support to income/revenue||USD35,000,000||USD35,000,000|
|05A - Health||USD20,000,000||USD20,000,000||
To address the emergency caused by COVID-19, the national government has prepared a USD20 million (or about 5% of GDP) COVID-19 Response Framework, in order to develop quarantine and isolation facilities across the nation, provide mandatory infection control training for all first responders, and increase testing capacity and ventilators for each island state in the Federated States of Micronesia.
|05B - Non-health||USD15,000,000||USD15,000,000||
April 22, The government approved the economic stimulus package of USD15 million (about 3.8% of GDP). The package includes measures to support affected businesses, including wage subsidies, debt relief, as well as social security tax and other tax rebates.
|06 - Budget reallocation info_outline|
|07 - Central bank financing government|
|07A - Direct lending & reserve drawdown|
|07B - Secondary purchase: government securities|
|08 - International Assistance Received||USD24,634,600||USD24,634,600|
|08A - Swaps info_outline|
|08B - International loans/grants||USD24,634,600||USD24,634,600|
|08B1 - Asian Development Bank||USD7,470,000||USD7,470,000||
(i) March 31, USD0.47 million under the COVID-19 Emergency Response; (ii) April 8, USD0.71 million under the TA 9950-REG: Regional Support to Address the Outbreak of COVID-19 and Potential Outbreaks of Other Communicable Disease; (iii) April 15, USD0.02 million technical assistance under Strengthening Social Protection in the Pacific ; (iv) April 17, USD6 million under the Pacific Disaster Resilience Program (Phase 2); (v) April 24, USD0.13 million technical assitance under Developing the Pacific Health Sector (Additional Financing); (vi) June 5, USD0.14 million technical assistance under Pacific Economic Management (Additional Financing). [update]
|08B2 - Other||USD17,164,600||USD17,164,600||
(i) March 27, USD7.7 million supplemental funding signed by Trump under the CARES Act through the US DOI Office of Insular Affairs’ Technical Assistance Program; (ii) March 30, USD27.6 thousand awarded by US HHS Office of the Assistant Secretary for Preparedness and Response (iii) April 1, USD1.26 million allocated by US Department of Health and Human Services; (iv) April 8, USD3.11 million awared by US HHS Health Resources and Services Administration to to support 5 health center grantees in Chuuk (1), Kosrae (2), Pohnpei (1), and Yap (1); (v) April 14, the Honorable Livingston A. Taulung, Secretary of the Federated States of Micronesia’s (FSM) Department of Health & Social Affairs and Chair of the COVID-19 Task Force, received His Excellency Huang Zheng, Ambassador of the People’s Republic of China (China) in a handover ceremony wherein the Ambassador presented, on behalf of the people and Government of China, medical supplies and a cash donation of USD100,000 to assist the FSM in combatting the COVID-19 Pandemic; (iv) April, The Joint Economic Management Committee, comprised of U.S. and Micronesian government representatives, approved USD1.65 million for Yap and USD1.40 million for Chuuk in prior-year unallocated Compact sector grant funding to be used for health-related COVID-19 preparedness and planning. For Kosrae, USD1.2 million in Compact infrastructure sector grant assistance was approved for construction of a 24-unit COVID quarantine facility. In addition, USD417 thousand in prior-year Compact Infrastructure Maintenance Fund assistance has been provided to Chuuk to assist with hospital infrastructure preparedness; (v) May 13, USD300,000 from UN COVID-19 Response & Recovery Fund to Support COVID-19 Contingency Plan for Federated States of Micronesia.
|09 - International Assistance Provided|
|09A - Swaps info_outline|
|09B - International loans/grants|
|10 - No breakdown|
|11 - Other Economic Measures||
(i) No monetary policy response. With the U.S. dollar its legal tender, the FSM does not have a central bank; and (ii) No exchange rate policy response, given that U.S. dollar is the legal tender of the FSM.
|12 - Non-Economic Measures||
(i) The national and state governments have introduced travel restrictions; banning or requiring 14-day self-quarantine prior to entry into the Federated States of Micronesia; and restricting residents from traveling abroad; and (ii) The state of Chuuk closed schools.