Country Reports

December 17, 2015

Jamaica: Tenth Review Under the Arrangement Under the Extended Fund Facility and Request for Modification of Performance Criteria-Press Release; Staff Report; and Statement by the Executive Director for Jamaica

Description: This paper discusses Jamaica’s Tenth Review Under the Arrangement Under the Extended Fund Facility and Request for Modification of Performance Criteria (PCs). Macroeconomic stability continues to strengthen. Inflation and the current account deficit have fallen to historical lows, a product of the low oil prices as well as the ongoing economic adjustment. The program remains on track. All PCs for end-September 2015 and structural benchmarks for the review period were met. Based on the authorities’ continued strong program implementation and their forward-looking policy commitments, the IMF staff recommends completion of the tenth review.

December 17, 2015

Cote D'Ivoire: Eighth Review Under the Extended Credit Facility Arrangement-Press Release; Staff Report; and Statement by the Executive Director for Cote D'Ivoire

Description: This paper discusses Côte d'Ivoire’s Eighth Review Under the Extended Credit Facility (ECF) Arrangement. The macroeconomic outlook remains strong with high projected growth rates supported by sustained improvements in the business climate and rising private investment, including in large private-public infrastructure projects. Risks to the near-term growth outlook are moderately tilted to the downside. Adverse weather owing to El Niño could lower output, and the failure to contain fiscal risks could weaken the fiscal accounts. The IMF staff supports the authorities’ request for completion of the eighth ECF review.

Notes: Also Available in French

December 17, 2015

Mali: Selected Issues

Description: This Selected Issues paper examines growth, structural transformation, and diversification in Mali. At present, the majority of Mali’s population is employed in low-productivity agriculture, and the secondary sector is underdeveloped. Further structural transformation and diversification of output and exports could thus yield significant growth dividends, but will be challenging in the context of a rapid projected increase in the workforce over coming decades, much of which would need to be absorbed by the agricultural sector. Policies could focus on easing the constraints to structural transformation in key areas such as education and the business climate, as well as devising a clear strategy for tackling the challenges posed by rapid population growth.

Notes: Also available in French

December 17, 2015

Mali: 2015 Article IV Consultation, Fourth Review Under the Extended Credit Facility Arrangement, and Request for Modification of a Performance Criterion-Press Release; Staff Report; and Statement by the Executive Director for Mali

Description: This 2015 Article IV Consultation highlights that Mali’s program performance through June was strong, with all performance criteria and most structural benchmarks met. The 2016 program features a somewhat higher fiscal deficit compared with 2015 to allow for increased public investment and reconstruction spending. The program’s structural component incorporates measures to support continued revenue growth, strengthen public financial management, and promote good governance. The external current account is projected to strengthen in the near term but would weaken thereafter, mainly as a result of less favorable terms of trade.

Notes: Also available in French

December 16, 2015

Status of Ukraine's Eurobond Held By the Russian Federation

Description: This paper discusses the status of Ukraine’s Eurobond held by the Russian Federation. The bond was acquired by Russia’s National Wealth Fund (NWF) pursuant to a decision by the Russian Government to provide assistance to Ukraine. In public statements at the time the bond was issued, Russia’s Finance Minister, Mr. Siluanov, explained that assistance was being provided via the NWF because the funds had not been appropriated in the federal budget, ruling out a direct intergovernmental credit. The IMF staff is of the view that the Eurobond is an official claim for the purposes of the IMF’s policy on arrears to official bilateral creditors.

December 15, 2015

Djibouti: 2014 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Djibouti

Description: This 2014 Article IV Consultation highlights that Djibouti is undergoing an investment boom that would accelerate economic growth. Aggregate investment is projected to rise from 26 percent of GDP in 2010–13 to 52 percent in 2014–16. GDP growth is expected to rise from 6 percent in 2014 to about 7 percent in 2015–19. Inflation is projected to pick up from 3 percent in 2014 to 3.3 percent in 2015–19 as the large investment spending fuels demand for housing and basic services. Central bank gross foreign assets are projected to remain strong, permitting full currency board coverage over the period 2015–19.

December 14, 2015

Republic of Estonia: 2015 Article IV Consultation-Press Release; Staff Report; and Informational Annex

Description: This 2015 Article IV Consultation highlights that Estonia’s economic growth has slowed following the rebound from the deep recession in 2009. Although Estonia’s economic and institutional fundamentals are among the strongest in the region, the economy is expected to expand by only a modest 1.6 percent in 2015. Growth is primarily driven by private consumption, which benefits from strong wage growth as labor market slack diminishes for demographic reasons. The economy should gather speed going forward. Growth is projected at 2.5 percent for 2016 and should average about 3 percent over the next few years.

December 14, 2015

Republic of Estonia: Selected Issues

Description: This Selected Issues paper analyzes income convergence and medium-term growth potential for Estonia. Estonia’s potential growth is projected to average some 3 percent over the next five years and 2.75 percent over the next two decades, implying continued income convergence with European Union levels, albeit at only half its historical pace. A number of policy enhancements could lift growth above this central projection. These include a greater operational policy focus on raising productivity growth, scaling up a number of envisaged pro-growth programs, supporting the upgrading of traditional industries as a second leg of innovation policy, and fully restoring Estonia’s high investment.

December 10, 2015

Sri Lanka: Third Post-Program Monitoring Discussion-Staff Report; Press Release; and Statement by the Executive Director for Sri Lanka

Description: This paper focuses on Sri Lanka’s Third Post-Program Monitoring Discussion. Sri Lanka’s recent macroeconomic performance has generally been strong but risks appear to be on the rise. Real GDP growth registered 7.4 percent in 2014. Growth was broad-based, with the exception of agriculture, which suffered from drought early in the year and heavy rains and flooding in the fourth quarter. Price pressures have been contained, with headline and core inflation declining to 2.1 and 1.2 percent, respectively, by end-year. The outlook is broadly stable but set against heightened downside risks.

December 3, 2015

Cameroon: Selected Issues

Description: This Selected Issues paper examines recent performance and reform agenda for Cameroon’s state-owned enterprises (SOEs). Cameroon’s SOEs are important providers of formal employment and have a large weight in the economy. The profitability and financial autonomy of SOEs have deteriorated in recent years, draining scarce budget resources. In addition, SOEs have amassed significant contingent liabilities in the form of debt and arrears. Weak corporate governance is a key factor in SOEs’ poor performance. The reform agenda should include enhancing the monitoring of SOEs, improving disclosure of their contingent liabilities, and strengthening their governance.

Notes: Also Available in French