Policy Papers
2005
October 20, 2005
Implementation of Basel II - Implications for the World Bank and the IMF - Factual Update
Description: This note provides factual updates on material recent developments with respect to the implementation of Basel II in member countries since the circulation of the paper prepared by Fund and World Bank staff on "Implementation of Basel II--implications for the World Bank and the IMF.
October 4, 2005
Establishment of an Exogenous Shocks Facility Under the Poverty Reduction and Growth Facility Trust
Description: At the recent Board discussion on strengthening the Fund's assistance to low-income countries dealing with sudden and exogenous shocks, most Directors supported the establishment of an Exogenous Shocks Facility within the Poverty Reduction and Growth Facility Trust. In an earlier discussion, Directors noted that exogenous shocks could have significant negative impacts on developing countries' growth, macroeconomic stability, debt sustainability, and poverty, and that low-income countries are particularly vulnerable to shocks due to lack of diversification, limited capacity to build up reserves, and prohibitively expensive or unavailable market insurance. The international community can supplement national efforts for reducing vulnerability to shocks. Recent research shows that foreign assistance can be unusually effective in the aftermath of a shock. Such assistance needs to be available quickly, and it needs to be associated with sound adjustment policies and measures to reduce vulnerability to future shocks.
September 27, 2005
Asia-Pacific Regional Outlook
Description: Looking ahead, prospects are relatively bright. Regional growth is expected to amount to 6 percent both this year and next, propelled by vigorous exports and strong domestic demand in China and India. Meanwhile, headline inflation is expected to remain around 3—3½ percent, as lower food prices offset the impact of higher oil prices. At the same time, the region’s current account balance is forecast to remain around 3 percent of GDP, albeit with large changes in its distribution.
September 22, 2005
Report of the Managing Director to the International Monetary and Financial Committee on the IMF's Policy Agenda
Description: This report provides an update on the work and direction of the Fund since the 2005 Spring Meetings. Since that time, the global economy has enjoyed strong growth--albeit with significant regional differences--and an absence of major financial crises, even though growing imbalances and rising oil prices have clouded the outlook. Although some steps the Fund has been advocating for some time have been taken--for example, increased flexibility in exchange rate regimes in Asia—decisive action to reduce global imbalances has remained elusive. At the same time, progress toward the Millennium Development Goals MDGs) remains slow and uneven,1 highlighting the need for concerted action by all countries. Further impetus is also urgently needed to move the Doha Round of trade negotiations toward an ambitious conclusion.
September 21, 2005
Progress Report on Crisis Resolution
Description: Describes progress in the inclusion of CACs in international sovereign bonds. Provides an update of efforts to broaden the consensus on the Principles. Reports on developments in recent sovereign debt restructuring cases. Discusses progress in the Evian Approach and other Paris Club issues. Provides a summary of the aforementioned paper on the determinants and prospects for regaining market access.
September 21, 2005
The Structure of the Oil Market and Causes of High Prices
Description: This note examines how crude oil, futures, and petroleum product markets interact to determine market outcomes. It discusses: (a) the structure of the global crude oil market and the fundamental forces behind the higher prices; (b) the futures market, and the role of new entrants and speculators; and, (c) refinery bottlenecks, and the relationship between crude and wholesale gasoline prices.
September 21, 2005
Managing Director's Statement to the Development Committee
Description: Our meeting takes place at an important juncture in the international community’s efforts towards achieving the Millennium Development Goals (MDGs). It is now five years since we took up this enormous challenge, and there is a sense of renewed urgency. The recent UN World Summit on Implementing the Millennium Declaration reaffirmed the commitments made in Monterrey, but stressed the need for more progress, particularly in Sub-Saharan Africa. In addition, at the African Union and G-8 Summits, African leaders and their counterparts in the G-8 committed themselves to intensify their efforts.
September 19, 2005
Trade Progress Report - Doha Development Agenda and Aid for Trade
Description: Updates the Board on progress in the WTO negotiations under the Doha Development Agenda in the run-up to the Hong Kong SAR Ministerial in December, and presents proposals on aid for trade to be submitted to the Development Committee and International Monetary and Finance Committee in September as requested during the spring meetings.
September 19, 2005
2005 Review of the Poverty Reduction Strategy Approach - Balancing Accountabilities and Scaling Up Results - Synthesis
Description: In December 1999, the World Bank (the Bank) and the International Monetary Fund (the Fund) introduced a new approach to their relations with low-income countries, centered around the development and implementation of poverty reduction strategies (PRS) by the countries as a precondition for access to debt relief and concessional financing from both institutions. These strategies were also expected to serve as a framework for better coordination of development assistance among other development partners.
September 19, 2005
2005 Review of the Poverty Reduction Strategy Approach - Balancing Accountabilities and Scaling Up Results
Description: In December 1999, the World Bank (the Bank) and the International Monetary Fund (the Fund) introduced a new approach to their relations with low-income countries, centered around the development and implementation of poverty reduction strategies (PRS) by the countries as a precondition for access to debt relief and concessional financing from both institutions. These strategies were also expected to serve as a framework for better coordination of development assistance among other development partners.