Georgia: Fourth Review Under the Stand-By Arrangement and Request for Modification of Performance Criterion
IMF Staff Country Reports, December 23, 2009
Source details
- Canonical URL
- Georgia: Fourth Review Under the Stand-By Arrangement and Request for Modification of Performance Criterion
Other formats
Bibliographic details
- Authors: Arrangement, Request
- Published: December 23, 2009
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451814712.002
Summary findings
- The strategy under the Stand-By Arrangement remains appropriate.
- Program targets for 2010 are in line with those presented at the Third Review.
- Fiscal policy will transition from an expansionary stance in 2009 to a path of strong consolidation, with a reduction in the deficit of 2¼ percent of GDP in 2010.
- Despite sizable adjustment, an external financing gap of roughly US$400 million remains in 2010, mostly because of the slow recovery of private capital inflows.
Fiscal policy and stance
- Transition from expansionary stance in 2009 to strong consolidation in 2010.
- Targeted fiscal adjustment: reduction in the deficit of 2¼ percent of GDP in 2010.
External financing and capital flows
- An external financing gap of roughly US$400 million in 2010.
- Primary cause: slow recovery of private capital inflows.
Program targets and implementation
- Program targets for 2010 are reported to be in line with those presented at the Third Review.
- The assessment implies continued monitoring of fiscal consolidation and external financing needs.
Subject coverage and keywords
- Subject: Banking, External debt, Financial institutions, Fiscal policy, Fiscal stance, Foreign exchange, Loans, Public debt
- Keywords: bank Republic, CR, dollar, Fiscal stance, foreign exchange market condition, foreign exchange market pressure, Global, inflation expectation, interest rate channel, ISCR, liquidity squeeze, Loans, SDR, U.S. dollar
Content in this bundle
- _cr09331 - Executive Summary