Occasional Papers

The Economic Impact of IMF-Supported Programs in Low-Income Countries

Author/Editor:

Yasemin Bal Gunduz ; Christian H Ebeke ; Burcu Hacibedel ; Linda Kaltani ; Vera V Kehayova ; Chris Lane ; Christian Mumssen ; Nkunde Mwase ; Joseph Thornton

Publication Date:

October 4, 2013

Summary:

This paper aims to assess the economic impact of the IMF’s support through its facilities for low-income countries. It relies on two complementary econometric analyses: the first investigates the longer-term impact of IMF engagement—primarily through successive medium-term programs under the Extended Credit Facility and its predecessors (and more recently the Policy Support Instrument)—on economic growth and a range of other indicators and socioeconomic outcomes; the second focuses on the role of IMF shock-related financing—through augmentations of Extended Credit Facility arrangements and short-term and emergency financing instruments—on short-term macroeconomic performance.

Series:

Occasional Paper No. 2013/003

Subject:

Asset and liability management Balance of payments Balance of payments need Current account balance Debt relief Foreign direct investment Poverty Poverty reduction Poverty reduction strategy