Policy Papers

October 2, 2009

Progress Report on the Activities of the Independent Evaluation Office

Description: Since its last report to the IMFC in April 2009, the IEO has completed its evaluation report on IMF Involvement in International Trade Policy Issues; released the issues papers for the evaluations on the IMF’s role in the run-up to the present crisis and on IMF research; and also issued the 2009 Annual Report.

September 30, 2009

Statement by the Managing Director to the International Monetary and Financial Committee on the IMF's Post-Crisis Role

Notes: This issues note is intended as background for discussions at the upcoming IMFC meeting.

September 30, 2009

Key Issues Note by the IMF Managing Director to the IMFC on the Global Economy and Financial Markets—Outlook and Policy Responses

September 28, 2009

The Implications of the Global Financial Crisis for Low-Income Countries—An Update

Description: Low-income countries are being hit hard by the global financial crisis. They are facing a sharp contraction in export growth, FDI inflows, and remittances, and lower-than-committed aid. But a marked recovery is in prospect for 2010 helped by rising world demand and supported by short-term domestic policies.

Countries are using fiscal and other policies to respond to the crisis and should continue to do so, where appropriate, until the economic recovery is clearly underway. However, the risks to debt sustainability are rising and countries should begin preparing to realign policies toward medium-term sustainability once the recovery is clearly on the move. Additional highly concessional donor support is needed to ensure that countries are not forced to make these adjustments prematurely, and to facilitate a smooth return to a sustainable debt path, with strong growth, over the medium term.

September 28, 2009

Provisional Agenda for the Twentieth Meeting of the International Monetary and Financial Committee

September 24, 2009

Update on the Financing of the Fund's Concessional Assistance and Debt Relief to Low-Income Member Countries

Description: This paper provides a semi-annual review of the status of financing for the Fund’s concessional lending and debt relief to low-income countries (LICs). Since the last review, the Executive Board has approved comprehensive reforms of the Fund’s concessional lending instruments and financing framework.

This update is based on data available at end-August and also takes into account the implications of these reforms.

September 18, 2009

Framework Administered Account for Selected Fund Activities—West Africa Regional Technical Assistance Center (AFRITAC West) Subaccount

Description: In March 2009, the Fund established a new Framework Administered Account to administer external financial resources for selected Fund activities (the “SFA Instrument”).

The financing of activities under the terms of the SFA Instrument is implemented through the establishment and operation of a subaccount within the SFA. The subaccount for the West Africa Regional Technical Assistance Center (AFRITAC West) would be the fourth one under the SFA.

This paper requests Executive Board approval to establish the AFRITAC West subaccount under the terms of the SFA Instrument.

September 17, 2009

Framework Administered Account for Selected Fund Activities—East Africa Regional Technical Assistance Center (AFRITAC East) Subaccount

Description: In March 2009, the Fund established a new Framework Administered Account to administer external financial resources for selected Fund activities (the “SFA Instrument”). The financing of activities under the terms of the SFA Instrument is implemented through the establishment and operation of a subaccount within the SFA.

The subaccount for the East Africa Regional Technical Assistance Center (AFRITAC East) would be the third one under the SFA.

This paper requests Executive Board approval to establish the AFRITAC East subaccount under the terms of the SFA Instrument.

September 16, 2009

Heavily Indebted Poor Countries (HIPC) Initiative and Multilateral Debt Relief Initiative (MDRI) - Status of Implementation 2009

Description: This paper updates the status of implementation, impact, and costs of the Enhanced Heavily Indebted Poor Country (HIPC) Initiative and the Multilateral Debt Relief Initiative (MDRI).

Debt relief provided under the Initiatives has substantially alleviated debt burdens in recipient countries. Aided by continued flexibility on the part of IDA and the Fund, substantial progress has been achieved under the Initiatives since the last report, and a number of post-decision-point countries have already benefited from debt relief.

September 14, 2009

Review of Recent Crisis Programs

Description: This study concludes that recent Fund-supported programs in emerging market countries are delivering the kind of policy response and financing needed to cushion the blow from the worst global crisis since the 1930s. While the crisis has had a profound effect on output and employment, especially in those countries starting with large external vulnerabilities, many of the severe disruptions attending previous crises—currency overshooting and bank runs—have so far been avoided. Internalizing lessons from the past, programs have responded to country conditions and adapted to worsening economic circumstances to attenuate contractionary forces. As a result, signs of stabilization are emerging in program countries, though there remain challenges to secure sustained recovery in a number of countries.