Country Reports
2023
April 28, 2023
United Republic of Tanzania: 2023 Article IV Consultation and First Review Under the Extended Credit Facility Arrangement-Press Release; Staff Report; and Statement by the Executive Director for the United Republic of Tanzania
Description: Spillovers from the war in Ukraine and shortfalls in rainfall stalled Tanzania’s recovery from the COVID-19 pandemic. Despite fuel and fertilizer subsidies, inflation has picked up in recent months, approaching the Bank of Tanzania’s target. External balances deteriorated significantly last year due in large part to spillovers from the war in Ukraine.
April 28, 2023
Vietnam: Technical Assistance Report-Taxpayer Compliance Risk Management–Tourism Compliance Improvement Plan
Description: This is a summary report concerning a remotely delivered capacity development (CD) activity by Mr. Joshua Aslett (IMF Fiscal Affairs Department (FAD), Mr. Andy Ditchfield and Mr. Steve Howlin (FAD Short Term Experts (STX)) to the General Department of Taxation (GDT) of Vietnam during the period September 22 to December 15, 2022. The purpose of this CD was to consolidate and build on the compliance risk management (CRM) theory training delivered in June 20211 by practically applying those CRM principles to the tourism sector to create a tourism sector compliance improvement plan (CIP). This remotely delivered activity will be followed by onsite assistance in February 2023 at which time the tourism CIP will be completed.
April 27, 2023
Colombia: Review Under the Flexible Credit Line Arrangement-Press Release; Staff Report; and Statement by the Executive Director for Colombia
Description: Benefiting from an effective policy response to the pandemic and highly favorable terms of trade, Colombia’s economy grew at one of the fastest rates among emerging economies in 2022. This demand-led recovery partly contributed to internal and external imbalances for which policy tightening is underway. The financial sector remains liquid and well capitalized, and the robust consumer credit growth observed last year is slowing. Overall, the authorities remain committed to maintaining their very strong policy frameworks and their track record of implementing very strong policies, while they seek to strengthen equity and diversify their economy from oil and coal dependence. The recent banking sector stress in advanced economies has not affected Colombia thus far.
April 27, 2023
Republic of Moldova: Third Reviews Under the Extended Credit Facility and the Extended Fund Facility Arrangements, and Request for a Waiver for Nonobservance of Performance Criterion-Press Release; Staff Report; and Statement by the Executive Director for Republic of Moldova
Description: The Moldovan economy contracted sharply in 2022; a modest recovery is expected this year. Spillovers from Russia’s war in Ukraine, high inflation and depressed demand, and weaker agricultural production all contributed to contraction in 2022. Recovery this year is supported by a pick-up in domestic demand and better growth prospects of trading partners. Inflation has decelerated as the National Bank reacted proactively to contain second-round effects and anchor expectations. Fiscal indicators remained robust in 2022, reflecting higher revenues, grants, and continued budget under-execution. International reserves continue to provide adequate safeguards against shocks; well-capitalized and liquid banks have weathered the impact of the war. The outlook is subject to high uncertainty related to the war and energy security risks.
April 25, 2023
Burkina Faso: Request for Disbursement Under the Rapid Credit Facility-Press Release; Staff Report; and Statement by the Executive Director for Burkina Faso
Description: Following two military coups in 2022, Burkina Faso remains committed to return to constitutional order, via democratic elections, by July 2024. Deviations from this timeline could put at risk the relationships with financial partners and donors. Deteriorating security, unfavorable climate conditions, the disruption of international supply-chains caused by the COVID-19 pandemic, and Russia’s invasion of Ukraine are all factors that contributed to sharply rising food prices during 2021-2022. As a result, food access for poor households deteriorated significantly, and at present about 3.4 million Burkinabé (out of a population of 21.5 million) are in conditions of food crisis, while one province is in a situation of food emergency, as defined by the World Food Program. In addition, the adverse impact on the current account of price increases for key cereals and fertilizers is estimated to amount to 0.4 percent of GDP cumulatively during 2022 and 2023. The overall costs to fully address food insecurity over the next year are estimated to be up to 3.5 percent of GDP.
April 25, 2023
West Bank and Gaza: Report to the Ad Hoc Liaison Committee
Description: The Palestinian economy faces myriad economic policy challenges and risks abound. The political and security situation continues to deteriorate. Public finances remain unsustainable, despite a contained 2022 fiscal deficit. The banking system has adequate capital and liquidity buffers, with stable non-performing loans, but there are signs of asset quality deterioration and weaker deposit growth, as Palestinians’ real incomes continue to erode.
April 25, 2023
West Bank and Gaza: Selected Issues
Description: Over the last two decades, the Palestinian economy did not create enough jobs to absorb new labor market entrants. This even as labor force participation rates remained stubbornly low and among the lowest in the world for Palestinian women. Female labor outcomes are particularly disappointing. For both sexes, there are high disparities in labor market outcomes across governorates and cities, reflecting geographic fragmentation and spatial mismatch between labor force and employment growth. Moreover, the gap in labor outcomes between the West Bank and Gaza has widened over time. Further facilitation of private sector job creation in high-productivity tradable services sectors could help absorb well-educated labor market entrants, while Palestinian Authority (PA) policies could raise female labor force participation and employment. But PA policies alone will not suffice to tackle job market challenges, as growth remains tepid in ambitious policy scenarios, barring easing of Israeli-imposed restrictions on the movement of people. Overall, a high elasticity of jobs to growth of 0.7 suggests improved labor market outcomes and higher growth would go hand in hand.
April 25, 2023
Republic of Kazakhstan: Technical Assistance Report-Government Finance Statistics (October 10-21, 2022)
Description: *Please note this report is only available in Russian* This technical assistance (TA) mission on Government Finance Statistics (GFS) was conducted during October 10-21, 2022. The main purpose of the mission was to review and finalize the annual GFS data submission for 2021. Provide training to new compilers and source data providers in the fundamentals of GFS, the accounting principles, and classifications aligned to the Government Finance Statistics Manual 2014 (GFSM 2014), bridge tables, and data quality control procedures. In addition, the mission provided recommendations on the delineation of the general government and the broader public sector.