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|
|02B1 - Interest rate adjustments|
|02B2 - Other policies to support long-term lending|
|02C - Loan guarantees|
|03 - Direct long-term lending info_outline|
|03A - Long-term lending info_outline|
|03B - Forbearance|
|04 - Equity support info_outline|
|05 - Health and income support||USD35,000,000||USD35,000,000|
|05A - Health support||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 - Income support||USD15,000,000||USD15,000,000|
|05B1 - Tax and contribution deferrals and policy changes|
|05B2 - Tax and contribution rates reduction|
|05B3 - Subsidies to individuals and households|
|05B4 - Subsidies to businesses|
|05B5 - Indirect income support|
|05B6 - No breakdown (income support)||USD15,000,000||USD15,000,000||
22 April 2020, 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.
|05C - No breakdown (health and income support)|
|06 - Budget reallocation info_outline|
|07 - Central bank financing government|
|07A - Direct lending and reserve drawdown|
|07B - Secondary purchase: government securities|
|08 - International Assistance Received||USD47,764,600||USD47,764,600|
|08A - Swaps info_outline|
|08B - International loans/grants||USD47,764,600||USD47,764,600|
|08B1 - Asian Development Bank||USD28,940,000||USD28,940,000||
(i) 31 March 2020, USD0.47 million under the COVID-19 Emergency Response; (ii) 8 April 2020, USD0.47 million under the TA 9950-REG: Regional Support to Address the Outbreak of COVID-19 and Potential Outbreaks of Other Communicable Disease; [update as of July 17]; (iii) 15 April 2020, USD0.02 million technical assistance under Strengthening Social Protection in the Pacific ; (iv) 17 April 2020, USD6 million under the Pacific Disaster Resilience Program (Phase 2); (v) 24 April 2020, USD0.13 million technical assitance under Developing the Pacific Health Sector (Additional Financing); (vi) 5 June 2020, USD0.14 million technical assistance under Pacific Economic Management (Additional Financing); (vii) 29 July 2020, USD1.03 million under COVID-19 Emergency Response; (viii) 10 August 2020, USD0.35 million under Knowledge and Support Technical Assistance for Strengthening Water, Sanitation, and Hygiene Practices and Hygiene Behavioral Change in the Pacific; (ix) 12 August 2020, USD0.23 million technical assitance under "Support for gender sensitive responses to COVID-19 in the Pacific Developing Member Countries; (x) 12 November 2020, USD14 million CPRO "Health Expenditure and Livelihood Support Program"; (xi) 11 December 2020, USD6 million Pacific Disaster Resilience Program (Phase 3); (xii) 17 December 2020, USD0.10 million technical assistance under "Supporting MSMEs in the Pacific from the Effects of COVID-19 Pandemic".
|08B2 - Other||USD18,824,600||USD18,824,600||
(i) 27 March 2020, USD7.7 million supplemental funding signed by Trump under the CARES Act through the US DOI Office of Insular Affairs’ Technical Assistance Program; (ii) 30 March 2020, USD27.6 thousand awarded by US HHS Office of the Assistant Secretary for Preparedness and Response (iii) 1 April 2020, USD1.26 million allocated by US Department of Health and Human Services; (iv) 8 April 2020, 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) 14 April 2020, 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 2020, 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) 13 May 2020, USD300,000 from UN COVID-19 Response & Recovery Fund to Support COVID-19 Contingency Plan for Federated States of Micronesia; (iv) 1 September 2020, USD1.66 million Airport Improvement Program from the US Federal Aviation Administration.
|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|
|12A - Measures affecting travel and transport (local and international)||
(ii) 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; (i) November 30, relaxed outward travel restrictions, allowing residents to travel abroad.
|12B - Measures affecting business and workplace||
The state of Chuuk closed schools.
|12C - Others|