Iraq: First Review Under the Stand-By Arrangement and Financing Assurances Review Staff Report; Staff Supplement; Press Release on the Executive Board Discussion; and Statement by the Executive Director for Iraq
IMF Staff Country Reports, September 15, 2008
Source details
- Canonical URL
- Iraq: First Review Under the Stand-By Arrangement and Financing Assurances Review Staff Report; Staff Supplement; Press Release on the Executive Board Discussion; and Statement by the Executive Director for Iraq
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Bibliographic details
- Authors: Arrangement, Financing Assurances Review Staff Report
- Published: September 15, 2008
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451819168.002
Overview
- The First Review under the Stand-By Arrangement (SBA) focuses on measures to accelerate the reconstruction of the Iraqi economy while maintaining macroeconomic stability.
- Key policy actions address inflation, monetary and exchange rate management, and state-owned bank restructuring.
Macroeconomic developments
- Inflation has slowed down.
- Reconstruction of the economy is a central policy priority alongside macroeconomic stability.
Monetary and exchange rate policy
- Monetary and exchange rate policies have been adjusted in response to the evolving inflation outlook.
- The Central Bank of Iraq (CBI) will:
- increase the pace of appreciation of the dinar; and
- keep the policy interest rate positive in real terms to keep inflation under control.
Banking sector reforms
- Restructuring plans for the two largest state-owned banks will be developed on the basis of their finalized financial and operational audits.
Thematic subjects covered
- Banking
- Budget planning and preparation
- Expenditure
- Foreign exchange
- Imports
- International trade
- Oil exports
- Public financial management (PFM)
Iraq: First Review Under the Stand-By Arrangement and Financing Assurances Review Staff Report; Staff Supplement; Press Release on the Executive Board Discussion; and Statement by the Executive Director for Iraq