MYRA stands for multiyear restructuring agreement; a bank debt rescheduling tool, originally introduced in 1984-1985, which provides creditor banks of a medium-term perspective for loan restructuring through negotiations with debtor countries. Thanks to MYRAs, a bank willing to maintain a loan on its balance sheet rather than selling it or swapping it for debt or equity would prefer to reschedule its contractual terms. Debtor countries often require a consolidation period for principal repayment that covers more than two years beyond the date of the signing of the agreement. Banks are often keen to impose special monitoring procedures in order to ensure that the restructuring country would be adopting adequate financial policies after it ceases to rely on IMF resources.

In case the country’s restructuring program is based on a phased arrangement with the International Monetary Fund (IMF), the Paris Club will consider a phased arrangement under which the rescheduling of payments falling due in the second or third year become in effect only on the condition the country succeeds to observe the IMF measures. This helps protect the creditors from passing on the benefits of restructuring to a country that is not adhering to the measures required to restore its creditworthiness.

Originally, MYRAs were intended to accelerate setting debtor countries back on track in terms of access to capital markets. In this sense, MYRAs can provide a well-defined planning horizon for creditor banks as well as debtor governments.