Via IMF (Den Internationale Valutafond)

On December 6, 2019, the Executive Board of the
International Monetary Fund (IMF) completed the sixth review under the
Extended Credit Facility (ECF)

[1]

and the Extended Fund Facility (EFF)

[2]

Arrangements and approved the request to extend the IMF support to the
end of 2020 and increase Côte d’Ivoire access to
SDR 843.972 million (about US$1,1163.6 million or 129.8 percent of Cote
d’Ivoire’s quota).

The three-year ECF/EFF arrangements with a total access of SDR 650.4
million (about US$896.7 million or 100 percent of Côte d’Ivoire’s
quota) were approved by the IMF Executive Board on December 12, 2016.
Completion of the sixth review enables the immediate disbursement of
SDR 96.784 million (about US$133.4 million), bringing total
disbursements under the arrangements to SDR 650.4 million (about
US$896.7 million).

Following the Executive Board discussion, Mr. Mitsuhiro Furusawa,
Acting Chair and Deputy Managing Director, made the following
statement:

“Côte d’Ivoire has been pursuing a development-oriented policy agenda,
and the IMF-supported program in place since 2016 has supported that
focus, paving the way for the private sector to become the main driver
of growth. The performance under the program has been strong. The
medium-term growth prospects remain robust, predicated on continuing
prudent macroeconomic policy, furthering financial sector reforms and
sustaining structural reforms to bolster private sector-led inclusive
growth.

“The authorities recommitted to the regional budget deficit target of 3
percent of GDP in 2019 and 2020. This objective is crucial to
macroeconomic stability and should be supported by a combination of
domestic revenue mobilization measures, such as broadening the tax
base, curtailing exemptions and swiftly digitalizing the revenue
administration, and through current expenditure restraint. This will
help Côte d’Ivoire finance its ambitious development projects. To
preserve debt sustainability, the budget deficit target needs to be
complemented by a balanced mix of external and domestic sources of
financing and continued prudent debt management will also be
imperative. The one-year extension of the current ECF and EFF
arrangements through 2020 will provide an important anchor for prudent
policies.

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“Accelerating public bank restructuring will also be essential to
further strengthen the resilience of the banking sector. Further
strengthening the AML/CFT frameworks and their implementation is also
important.

“Côte d’Ivoire’s reform efforts have resulted in improvements in its
business climate in recent years. It will be imperative to continue the
reform agenda to further stimulate private sector activity and support
inclusive growth, including by improving the energy sector, human
capital and financial inclusion, accelerating digitalization, enhancing
trade connectivity and governance, expanding the coverage of social
safety nets, and reinforcing the statistical apparatus to help better
inform economic policy.”