IMF Staff Country Reports

Cabo Verde: 2023 Article IV Consultation, Second Review Under the Extended Credit Facility Arrangement, and Request for Modification of a Performance Criterion-Press Release; Staff Report; and Statement by the Executive Director for Cabo Verde

Publication Date:

July 18, 2023

Electronic Access:

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Summary:

Cabo Verde’s medium-term outlook is positive, supported by the authorities’ policy package to respond to the evolving impacts of the war in Ukraine and their commitments to the recovery process and the ECF in a challenging environment. The economy rebounded strongly in 2022 with GDP growth of 17.7 percent, although average inflation increased to 7.9 percent at end-December 2022 driven by higher food, electricity, gas, and transportation costs. The new Strategic Plan for Sustainable Development 2022-2026 (PEDS II) sets the reform agenda to overcome challenges to sustainable development. The economy remains vulnerable to internal and external risks. In this context, the ECF will support the authorities’ plans towards economic and social progress, as well as the environmental challenges facing the country in its development process, while seeking to reduce debt levels and mitigate risks.

Series:

Country Report No. 2023/262

Subject:

Debt sustainability Debt sustainability analysis External debt International organization Monetary policy Public debt Revenue administration

Frequency:

regular