News Brief: Slovakia Adopts Staff-Monitored Program
June 6, 2001
Slovakia has adopted a program to be monitored by the staff of the International Monetary Fund (IMF)1.
Over the past several months the Slovak authorities and the staff of the IMF have been pursuing a close dialogue on policies designed to consolidate macroeconomic stability and accelerate structural reforms in Slovakia. These policies are contained in a statement of economic policies approved by the Slovak cabinet last month, and posted on the IMF's and Slovak government's websites. (http://www.imf.org/external/np/loi/2001/svk/01/index.htm)
Building on concerted efforts over the last two years to reduce macroeconomic imbalances and promote sustainable economic growth, the government aims to achieve in 2001 and 2002 annual real GDP growth rates of 3-4½ percent; to continue to bring inflation down; and to strengthen the country's financial system and its external position. To achieve these objectives the authorities will strengthen the underlying fiscal position in line with their medium-term objectives, advance structural reforms, ensure financial discipline, and gear monetary policy toward lowering inflation.
The implementation of the Slovak authorities' program, covering the period through March 2002, will be monitored by the IMF staff. The authorities intend to make the staff's periodic assessments public.
The next discussion by the Executive Board of the authorities' policies will be in the context of the forthcoming 2001 Article IV consultation, expected in late July.
1 A staff-monitored program is an agreement between national authorities and IMF staff to monitor the implementation of the authorities' economic and financial program during a specified period—normally 12-18 months. Such staff monitoring does not represent endorsement of the program by the IMF Executive Board or involve Fund financing.