Country Reports
2021
November 23, 2021
Republic of San Marino: 2021 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of San Marino
Description: San Marino entered the pandemic with substantial vulnerabilities and still struggling from the consequences of the Global Financial Crisis (GFC). However, the economy has shown significant resilience supported by a timely and targeted policy response. Fiscal support was substantially scaled up after external borrowing was secured, including through a debut Eurobond. The banking system was rationalized, partly capitalized, its liquidity substantially improved, and a strategy is being adopted to address exceptionally high nonperforming loans (NPLs). Some of these measures, while effective, have increased official public debt substantially.
November 19, 2021
Mexico: Arrangement Under the Flexible Credit Line and Cancellation of Current Arrangement-Press Release; Staff Supplement; and Staff Report
Description: The government has successfully maintained external, financial, and fiscal stability despite the deepest recession in decades. However, Mexico is bearing a very heavy humanitarian, social, and economic cost from COVID-19, including over half a million excess deaths, sizable under-employment, and an increase in poverty.
November 17, 2021
Philippines: Financial Soundness Indicators
Description: With the support of the IMF’s Asia and Pacific Department (APD) and the Bangko Sentral ng Pilipinas (BSP), an IMF Statistics Department (STA)’s remote financial soundness indicators (FSIs) technical assistance (TA) mission took place during April 30–May 14, 2021. The main objective of the mission was to assist the BSP in compiling FSI for the other financial corporations (OFCs) sector, in line with the 2019 Financial Soundness Indicators Compilation Guide (Guide). Specifically, the Guide recommends compiling indicators for money market funds, insurance corporations, and pension funds, as well as for the total OFC sector. The work of the mission was facilitated by the excellent collaboration of BSP’s staff, in particular of the Department of Economic Statistics (DES). The list of officials met during the mission can be found in Appendix I.
November 15, 2021
Kingdom of the Netherlands—the Netherlands: 2021 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Kingdom of the Netherlands—the Netherlands
Description: The Dutch economy was more resilient than the average Euro area economy in 2020 owing in part to a high rate of digitalization of activities that allowed a large share of the work force to work remotely, while the strong policy response mitigated the impact of containment measures. A strong recovery is underway, with pre-pandemic GDP level to be exceeded in 2021:Q4, and the labor market has tightened considerably. The economy is forecast to grow by 4.0 percent in 2021 and 3.3 percent in 2022, on the back of strong consumption and investment, supported by increasing coverage of vaccines. Near-term risks to the outlook are roughly balanced, driven by the uncertain trajectory of the pandemic on the downside, while a fuller than expected drawdown of savings accumulated in the pandemic would further support domestic demand and growth. Further out, real estate market developments present additional risks.
November 15, 2021
Kingdom of the Netherlands—the Netherlands: Selected Issues
Description: Selected Issues
November 15, 2021
Republic of South Sudan: First Review under the Staff-Monitored Program-Press Release; and Staff Report
Description: A 9-month Staff Monitored Program (SMP) combined with a disbursement under the Rapid Credit Facility (RCF) of 50 percent of quota (about US$174 million) was approved on March 30, 2021 to address BOP challenges and build a track record towards an upper credit tranche financial arrangement. This followed a disbursement under the RCF in November 2020 of 15 percent of quota (about US$52 million), which was the first-ever financial disbursement from the Fund to South Sudan. Progress has continued in implementing the revitalized peace agreement of 2018: following the formation of a unity government in February 2020 and the appointment of state governors in June 2020, the national parliament was sworn into office in August 2021. The humanitarian situation remains dire, with about 60 percent of the population facing high levels of acute food insecurity.
November 12, 2021
Georgia: Technical Assistance Report-Scanner Data for CPI
Description: The purpose of the mission was to assist the National Statistics Office of Georgia (Geostat) with continuing its modernization of the Consumer Price Index (CPI). This was the first technical assistance (TA) mission to Georgia to specifically focus on scanner data (SD). Two earlier missions on the residential property price index (RPPI) (September 23–October 4, 2019, and November 30–December 4, 2020) already provided initial guidance and addressed the planned modernization of the CPI using SD. The mission was delivered remotely, and the sessions were recorded for future reference.
November 12, 2021
Burundi: Request for Disbursement Under the Rapid Credit Facility-Press Release; Staff Report; and Statement by the Executive Director for Burundi
Description: Burundi is a fragile state with a history of political tensions and weak institutions. Before the Covid-19 pandemic, Burundi was recovering from an economic recession triggered by the 2015 political crisis stemming from the late President Nkurunziza’s decision to run for a third term. Real GDP growth was positive, at 1.8 percent in 2019, but difficult policy challenges persisted.
November 11, 2021
Chile: Fiscal Transparency Evaluation
Description: Strong fiscal institutions have contributed to Chile’s macroeconomic stability, and recent reform initiatives have focused on enhancing these institutions and fiscal transparency. This report assesses fiscal transparency practices in Chile in relation to the requirements of the IMF’s Fiscal Transparency Code and confirms that many elements of sound fiscal transparency practices are already in place. Chile’s practices meet the principles of the code at a good or advanced level for 21 out of the 36 principles. This is a good score, compared to the average for Latin American Countries and Emerging Market Economies. On a further nine principles, Chile meets the basic standard of practice. Chile’s fiscal transparency practices are very strong for fiscal forecasting and budgeting, followed by fiscal reporting, while fiscal risk analysis and management demonstrate more mixed results. Further improvements could be achieved relatively easily through the publication of some internal analyses or through a more timely or user-friendly publication of already available information.
November 5, 2021
Mexico: 2021 Article IV Consultation-Press Release; and Staff Report
Description: Spurred by strong U.S. growth and rising vaccination rates, the economy is rebounding. The government has successfully maintained external, financial, and fiscal stability despite the deepest recession in decades. Nonetheless, Mexico is bearing a very heavy humanitarian, social, and economic cost from COVID-19, including over half a million excess deaths, sizable under-employment, an increase in already-high levels of poverty, and learning losses for the young. Real income per capita is continuing its long-run divergence from the U.S., while additional challenges are emerging from technological shifts and climate change.