Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

In recent years, the IMF has released a growing number of reports and other documents covering economic and financial developments and trends in member countries. Each report, prepared by a staff team after discussions with government officials, is published at the option of the member country.

Banks and Banking --- Exports and Imports --- Inflation --- Money and Monetary Policy --- Public Finance --- Monetary Policy, Central Banking, and the Supply of Money and Credit: General --- Banks --- Depository Institutions --- Micro Finance Institutions --- Mortgages --- Fiscal Policy --- National Government Expenditures and Related Policies: General --- Price Level --- Deflation --- Macroeconomics --- Public finance & taxation --- Monetary economics --- Banking --- International economics --- Credit --- Fiscal policy --- Public financial management (PFM) --- Banks and banking --- Finance, Public --- Prices --- Mozambique, Republic of

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

EXECUTIVE SUMMARY Context: A series of coups d’état since independence have resulted in chronic political instability and deterred economic and social progress. Guinea-Bissau has re-initiated progress since the assumption of office of the current inclusive government in mid-2014. The economy is now recovering after a decline in 2012 and marginal growth in 2013. Inflation remains low, and socio-political stability seems achievable. The coup d’état of April 2012 stalled implementation of the three-year Extended Credit Facility (ECF)- supported program approved by the Board in May 2010, and the arrangement lapsed subsequently. The Fund’s support under the Rapid Credit Facility (RCF) disbursement of 2014 and the authorities’ commitment to reforms have re-ignited donor confidence. Article IV Discussions. Policy discussions focused on measures to overcome fragility; fiscal consolidation and public financial management reforms; restoring financial stability; borrowing policies and long-term debt sustainability; private sector development and structural reforms to enhance inclusive growth prospects. The Proposed Program. The authorities’ development program, anchored on the Strategic Plan for 2014–18, aims to consolidate the fiscal position through better expenditure management and enhanced revenue mobilization, deepen institutional reform, mitigate vulnerabilities, and develop the private sector to support growth and employment. The program focuses on improving the policy framework by addressing governance and security issues, strengthening budgetary transparency as well as public investment and debt management, and improving compilation of statistics. Structural benchmarks focus on these issues while QPCs include a floor on revenues collection and a ceiling on net credit to government (the anchor of the program). Request for an Extended Credit Facility Arrangement. To support their medium-term economic reform program, the authorities request a three-year arrangement under the ECF in an amount equivalent to SDR 17.04 million (120 percent of quota). Risks to the program include the still fragile political situation, which could delay implementation of reforms, adverse terms of trade developments, and weakening donor confidence, and the heightened risk of incursion of the Ebola virus from neighboring countries.

Computer Programs: Other --- Data Collection and Data Estimation Methodology --- Debt Management --- Debt --- Debts, External --- Debts, Public --- Econometrics & economic statistics --- Exports and Imports --- External debt --- Finance --- Finance, Public --- Government debt management --- Government finance statistics --- International economics --- International Lending and Debt Problems --- Macroeconomics --- Monetary economics --- Money and Monetary Policy --- National Government Expenditures and Related Policies: General --- Public debt --- Public finance & taxation --- Public Finance --- Public financial management (PFM) --- Revenue --- Sovereign Debt --- Statistics --- Taxation, Subsidies, and Revenue: General --- Guinea

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

KEY ISSUES Context: Angola has returned to a path of solid economic growth, with single-digit inflation, a strong international reserves position, and a stable exchange rate. The authorities have made progress in strengthening some areas of fiscal and monetary policies. However, recurrent domestic arrears and the reconciliation of oil revenue remain as challenges for public financial management. Outlook and risks: Growth is projected to have slowed to 4 percent in 2013, but is expected to increase to 5 percent in 2014 as oil production recovers. The non-oil sector continues to grow strongly, as investments in roads and power bolster growth in construction and manufacturing. The 2013 budget took important steps toward the integration of quasi-fiscal operations, but some slippage has been introduced in the 2014 budget. The weakening of the overall fiscal balance initiated in 2013 is expected to continue in 2014, heightening vulnerability to external shocks. In this context, efforts to reconcile oil revenue data and to ensure a timely and complete transfer of that revenue to the Treasury should continue, together with institutional reforms to address recurrent domestic arrears and persistent weaknesses in public financial management. Angola should take advantage of continued high oil prices to put in place reforms that will lead to higher growth in 2015. Focus: Discussions focused on policy options for further strengthening macroeconomic outcomes and key issues related to Angola’s capacity to repay the Fund, including the need for: prudent fiscal policies to support further strengthening of buffers; more timely and predictable oil revenue transfers to the Treasury; public financial management reforms to address the recurrence of domestic arrears; and the implementation of the foreign exchange law for the oil sector.

Arrears --- Business Taxes and Subsidies --- Corporate crime --- Criminology --- Debt Management --- Debt --- Debts, External --- Debts, Public --- Expenditure --- Expenditures, Public --- Exports and Imports --- Finance, Public --- International economics --- International Lending and Debt Problems --- National Government Expenditures and Related Policies: General --- National Government Expenditures and Related Policies: Infrastructures --- Oil, gas and mining taxes --- Other Public Investment and Capital Stock --- Public debt --- Public finance & taxation --- Public Finance --- Public financial management (PFM) --- Sovereign Debt --- Taxation --- White-collar crime --- Angola

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

KEY ISSUES Context and outlook: Angola’s recent economic developments have been positive, but softening oil revenue and limited proven oil reserves highlight the need to contain emerging fiscal deficits, preserve policy buffers, and continue diversifying the economy. Focus of consultation: Discussions focused on mitigating the main risks to the macroeconomic framework and, inter alia, policies to return to structural fiscal surpluses over the medium term, and to support economic diversification and inclusive growth, the modernization of the monetary policy framework, and financial stability. Key policy recommendations: • Return to structural fiscal surpluses in line with the objective set forth in Angola’s Sovereign Wealth Fund, by mobilizing additional nonoil tax revenue, improving the efficiency of public investment, and reducing current spending, including by phasing out the costly and regressive fuel subsidies—while mitigating the impact on the poor through well-targeted social assistance. • Adopt an improved medium-term fiscal framework, focusing on the structural fiscal balance to limit the impact of the oil sector on the nonoil economy. • Develop a coherent asset-liability management framework, including a well-designed stabilization fund to shield the budget from oil revenue fluctuations. • Further improve public financial management systems to avoid, inter alia, a recurrence in the future of domestic payments arrears. • Continue improving the business climate to boost economic development, diversification, and competitiveness. • In transitioning over the medium-term toward an inflation targeting regime, enhance the central bank’s capacity to collect and analyze high-frequency economic data, and continue de-dollarizing the economy. • Further strengthen the financial system, by continuing to improve the transparency and accountability of banks, and enhancing bank supervision. • Manage public guarantees transparently and with a view to minimize fiscal costs, as envisaged in the recently-approved law on public guarantees.

Banks and Banking --- Debt Management --- Debt --- Debts, External --- Debts, Public --- Energy: General --- Exports and Imports --- External debt --- Finance, Public --- International economics --- International Lending and Debt Problems --- Investment & securities --- Investments: Energy --- Macroeconomics --- National Government Expenditures and Related Policies: General --- National Government Expenditures and Related Policies: Infrastructures --- Oil --- Other Public Investment and Capital Stock --- Petroleum industry and trade --- Petroleum, oil & gas industries --- Public debt --- Public finance & taxation --- Public Finance --- Public financial management (PFM) --- Public investment spending --- Public investments --- Sovereign Debt --- Angola

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

After two years of protracted political turmoil and delays in reforms, the authorities put in place in 2021 an ambitious fiscal consolidation program to ensure debt sustainability while creating fiscal space to address vast developmental needs. In late July, Fund Management approved a 9-month Staff Monitored Program (SMP) to support the government’s reform program aimed at stabilizing the economy, strengthening governance, and building a soundtrack-record of policy implementation towards an Extended Credit Facility (ECF) arrangement. The first review was concluded satisfactorily in October. A Rapid Credit Facility (RCF) disbursement of SDR 14.2 million (50 percent of quota) was approved in January to provide urgent financing to support critical spending in health and catalyze additional donor resources. The RCF disbursement, the SDR 27.2 million allocation (96 percent of quota) and reforms underpinned by the SMP are contributing to address fragility including the adverse impact of the pandemic, improve government spending transparency and mitigate debt vulnerabilities, and create conditions that would help restore donor confidence and catalyze much-needed concessional financing.

Money and Monetary Policy --- International Economics --- Public Finance --- Exports and Imports --- Diseases: Contagious --- Monetary Policy --- International Agreements and Observance --- International Organizations --- Debt --- Debt Management --- Sovereign Debt --- National Government Expenditures and Related Policies: General --- International Lending and Debt Problems --- Taxation, Subsidies, and Revenue: General --- Health Behavior --- Monetary economics --- International institutions --- Public finance & taxation --- International economics --- Infectious & contagious diseases --- Monetary policy --- International organization --- Expenditure --- Public debt --- External debt --- Revenue administration --- Public financial management (PFM) --- International agencies --- Debts, Public --- Expenditures, Public --- Debts, External --- Revenue --- Communicable diseases --- Guinea-Bissau