Numbers & Statistics
IMF Staff Completes Review Mission to Chad
IMF Staff Completes Review Mission to Chad
November 5, 2019
End-of-Mission press releases include statements of IMF staff teams that convey preliminary findings after a visit to a country. The views expressed in this statement are those of the IMF staff and do not necessarily represent the views of the IMF’s Executive Board. Based on the preliminary findings of this mission, staff will prepare a report that, subject to management approval, will be presented to the IMF’s Executive Board for discussion and decision.
- The economy is slowly recovering, and the macroeconomic outlook remains broadly positive, though subject to some challenges.
- Fiscal performance is on-track, and efforts should continue to ensure that social expenditures are stepped up, particularly in health and education, in order to meet the end year target.
- The authorities and the IMF team have reached a staff-level agreement on the fifth review under the ECF arrangement.
An International Monetary Fund (IMF) mission led by Mr. Edward Gemayel
visited N’Djamena from October 24 to November 5 to hold discussions on the
fifth review of the authorities’ three-year economic and financial program
supported by an IMF arrangement under the Extended Credit Facility (ECF).
At the conclusion of the visit, Mr. Gemayel issued the following statement:
“The discussions on the fifth review under the ECF arrangement have allowed
the authorities and the IMF team to reach a staff-level agreement, subject
to approval by IMF Management and the Executive Board. Consideration by the
IMF’s Executive Board is expected in December 2019.
“Economic activity is expected to continue to recover and the outlook
remains broadly positive. Aided by an increase in public investment,
domestic arrears clearance, and the recovery of the cotton sector, non-oil
growth is expected to reach 2 percent and 3 percent in 2019 and 2020,
respectively. Inflation is expected to remain low for the remainder of the
year, reflecting subdued food and transport prices.
“Performance under the IMF-supported program was broadly satisfactory
during the first half of 2019. All end-June quantitative performance
criteria and the indicative target on social spending have been met. Out of
the five structural benchmarks that were due by end-September three were
completed. Progress has been made on the audit of domestic arrears and the
restructuring and funding plans of the two public banks, which are expected
to be completed by end-November.
“Fiscal consolidation is helping maintain debt in a sustainable position.
Fiscal performance in 2019 is expected to be in line with program
projections. Meeting the end-year targets will require continued efforts to
strengthen domestic revenue mobilization, contain non-priority spending,
and accelerate social spending, particularly in health and education. For
2020, consolidation efforts should be sustained by containing spending,
especially the wage bill, and refraining from fiscal slippages,
particularly in the run up to the elections. Similarly, payment of existing
arrears should continue apace to provide breathing space to the economy.
“The banking sector is showing signs of stabilization; however,
vulnerabilities remain. Deposits and credits have picked-up this year and
the liquidity situation is improving. Non-performing loans remain high but
are on a downward trend. Addressing bank vulnerabilities, in coordination
with regional bodies, is critical for the stability of the sector and for
containing fiscal risks.
“The IMF team wishes to express its gratitude to the Chadian authorities
and other counterparts for their warm hospitality, excellent cooperation,
and candid and constructive discussions during the visit. The IMF reaffirms
its support to the government’s efforts to implement their economic reform
“During its visit, the mission met with Mr. Kabadi, President of the
National Assembly and had discussions with Mr. Nguilin, Minister of Finance
and Budget, Mr. Doubragne, Minister of Economy and Development Planning,
Mr. Koua, Minister of Oil, Energy and Mines, Mr. Mahamat Hassan, the
National Director of BEAC, and other senior officials, as well as
representatives of the private sector, civil society, and international
development partners. A press conference was held at the end of the
IMF Communications Department
PRESS OFFICER: Lucie Mboto Fouda
Phone: +1 202 623-7100Email: MEDIA@IMF.org