IMF approves plan to sell 403 tonnes of gold

WASHINGTON: The International Monetary Fund board of governors on Tuesday approved the sale of 403.3 tonnes of IMF gold reserves as part of a financial overhaul that helps boost its sagging coffers.

The plan would create an "endowment" that helps provide a steadier source of income to the international organization that has drastically scaled back on lending.

The program announced April 7 also calls for a 13.5 percent cutback in IMF spending over the next three years.

"The new income and expenditure framework is expected to cover a 400 million dollar shortfall projected in the medium term," the IMF said in a statement.