IMF Executive Board Completes Fourth Reviews under an Extended Credit Facility and Extended Fund Facility for Côte d’Ivoire and Approves US$133.7 Million Disbursement
December 13, 2018
- The country’s economic outlook remains robust, with growth projected at about 7½ percent in 2018–19.
- The budget deficit is projected to converge to the WAEMU regional norm of 3 percent of GDP in 2019.
- The program aims to achieve a sustainable balance of payments position, enhance domestic revenue mobilization, ensure debt sustainability, and foster inclusive growth and poverty reduction.
On December 12, 2018, the Executive Board of the International Monetary Fund (IMF) completed the fourth reviews under the Extended Credit Facility (ECF) [1] and Extended Arrangement under the Extended Fund Facility (EFF) [2] for the Republic of Côte d’Ivoire. Completion of the reviews enables the immediate disbursement of SDR 96.786 million (about US$133.7 million).
The three-year ECF/EFF arrangements with a total access of SDR 650.4 million (about US$898.4 million or 100 percent of Côte d’Ivoire’s quota) were approved by the IMF Executive Board on December 12, 2016.
Following the Executive Board discussion, Mr. Furusawa, Acting Chair and Deputy Managing Director, made the following statement:
“Côte d’Ivoire is implementing a program of macroeconomic policies and structural reforms to sustain strong growth, ensure macroeconomic stability, reduce poverty and promote inclusiveness. The performance under this IMF-supported program has been satisfactory, especially on meeting the agreed quantitative performance criteria. Progress has also been made with regards to structural benchmarks, although more remains to be accomplished going forward. With determined implementation of sound economic policies and structural reforms, the medium-term growth outlook can be expected to remain robust.
“On the fiscal front, the budget deficit target for 2018 is within reach, and the authorities have reiterated their commitment to meet the regional WAEMU deficit norm of 3 percent of GDP in 2019. Achieving these goals will require additional revenue-enhancing measures and spending restraint while protecting pro-poor outlays. On the financing side, the authorities’ new debt management strategy envisages an even mix of domestic and foreign currency sources. In that context, a prudent borrowing policy, which carefully assesses the cost and benefits of new loans, is required to keep Côte d’Ivoire’s debt on a sustainable path. Strengthening public financial and debt management remain critical to maintaining debt sustainability.
“On the structural front, the authorities intend to persevere with reforms to enhance revenue administration and public financial management, improve the business climate, promote inclusive growth and consolidate banking sector stability. They also intend to enhance Côte d’Ivoire’s statistical system to better inform policy decisions.”
| Côte d’Ivoire: Selected Economic Indicators: 2015–20 | |||||||
|
2015 |
2016 |
2017 |
2018 |
2019 |
2020 |
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|
Est. |
Projections |
||||||
|
(Annual percentage changes, unless otherwise indicated) |
|||||||
|
National income |
|||||||
|
GDP at constant prices |
8.8 |
8.0 |
7.7 |
7.4 |
7.5 |
7.2 |
|
|
GDP deflator |
3.1 |
-1.1 |
-1.7 |
0.4 |
1.1 |
1.8 |
|
|
Consumer price index (annual average) |
1.2 |
0.7 |
0.8 |
1.7 |
2.0 |
2.0 |
|
|
External sector |
|||||||
|
Exports of goods, f.o.b., at current prices |
8.2 |
-7.0 |
8.0 |
16.7 |
8.6 |
7.6 |
|
|
Imports of goods, f.o.b., at current prices |
12.6 |
-8.5 |
18.2 |
21.6 |
8.7 |
8.3 |
|
|
Central government operations |
|||||||
|
Total revenue and grants |
18.9 |
6.6 |
8.0 |
8.2 |
9.3 |
10.0 |
|
|
Total expenditure |
21.8 |
12.2 |
9.9 |
5.9 |
5.0 |
9.5 |
|
|
Money and credit |
|||||||
|
Money and quasi-money (M2) |
17.3 |
10.1 |
8.8 |
11.0 |
11.9 |
13.0 |
|
|
Credit to the economy |
28.5 |
13.3 |
15.2 |
13.4 |
14.1 |
12.1 |
|
|
(Percent of GDP unless otherwise indicated) |
|||||||
|
Central government operations |
|||||||
|
Total revenue and grants |
20.0 |
20.0 |
20.4 |
20.4 |
20.5 |
20.7 |
|
|
Total revenue |
18.5 |
18.6 |
19.2 |
19.2 |
19.4 |
19.6 |
|
|
Total expenditure |
22.8 |
24.0 |
24.9 |
24.4 |
23.6 |
23.7 |
|
|
Overall balance, incl. grants, payment order basis |
-2.8 |
-4.0 |
-4.5 |
-4.0 |
-3.0 |
-3.0 |
|
|
Gross investment |
20.1 |
17.7 |
19.5 |
21.8 |
22.4 |
23.5 |
|
|
Central government |
6.7 |
7.4 |
7.5 |
7.6 |
7.2 |
7.3 |
|
|
Nongovernment sector |
13.4 |
10.3 |
12.0 |
14.2 |
15.1 |
16.2 |
|
|
Gross domestic saving |
23.6 |
20.3 |
20.4 |
21.7 |
22.4 |
23.6 |
|
|
Central government |
2.9 |
2.2 |
2.0 |
2.6 |
3.6 |
4.1 |
|
|
Nongovernment sector |
20.7 |
18.2 |
18.4 |
19.2 |
18.8 |
19.4 |
|
|
External sector balance |
|||||||
|
Current account balance |
-0.6 |
-1.2 |
-3.5 |
-3.9 |
-3.7 |
-3.7 |
|
|
Overall balance |
2.0 |
-1.2 |
1.0 |
1.1 |
0.0 |
0.6 |
|
|
Public sector debt |
|||||||
|
Central government debt, gross |
47.3 |
48.4 |
49.8 |
52.6 |
51.0 |
49.7 |
|
|
Central government debt (excluding C2D) |
40.7 |
43.1 |
45.3 |
49.1 |
48.4 |
47.9 |
|
|
External debt |
29.5 |
29.0 |
30.5 |
36.7 |
36.8 |
34.1 |
|
|
External debt (excluding C2D) |
22.2 |
23.4 |
25.4 |
32.7 |
33.8 |
31.9 |
|
|
Memorandum items: |
|||||||
|
Nominal GDP (CFAF billions) |
19,595 |
20,931 |
22,151 |
23,892 |
25,957 |
28,307 |
|
|
Poverty rate (in percent) |
46.3 |
… |
… |
… |
… |
… |
|
|
Sources: Ivoirien authorities; and IMF staff estimates and projections. |
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IMF Communications Department
MEDIA RELATIONS
PRESS OFFICER: Gediminas Vilkas
Phone: +1 202 623-7100Email: MEDIA@IMF.org
