US Tries to Block IMF's $5Bln Emergency Loan to Iran Amid COVID-19 - Reports

MOSCOW (Pakistan Point News / Sputnik - 08th April, 2020) The United States is seeking to prevent the International Monetary Fund (IMF) from providing Iran with a $5 billion loan that Tehran needs to fight the COVID-19 pandemic, The Wall Street Journal reported on Wednesday, citing sources from the White House.

In March, Iran, a country among the worst-hit by the pandemic, requested $5 billion in emergency funding from the IMF but received no response. Earlier in the day, Iranian President Hassan Rouhani once again asked the IMF for assistance.

According to The Wall Street Journal, US officials fear that after receiving the loan from the IMF, the Iranian authorities can spend funds to rebuild its economy weakened by US sanctions or fund militants in the middle East.

"[Iranian] officials have a long history of diverting funds allocated for humanitarian goods into their own pockets and to their terrorist proxies," a US administration official said, as quoted by the media outlet.

The news outlet notes that Iran appealed to the IMF for assistance for the first time in more than 60 years.

As of Wednesday, the total number of COVID-19 patients in Iran has surpassed 62,500, with more than 3,800 fatalities and 27,000 recoveries.

Iran has repeatedly claimed that the US sanctions have hindered the country's efforts to combat the spread of COVID-19 and prevented the imports of essential medical goods to respond to the crippling epidemic.