## _cr08154 ## Source details **Canonical URL:** [_cr08154](https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2008/_cr08154.pdf) ## Other formats - [Markdown version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2008/_cr08154.pdf.md) - [Structured JSON version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2008/_cr08154.pdf.json) --- ### Economic Performance in 2006 — Macroeconomic performance and drivers - Heavy dependence on the international economy; steady deterioration of terms of trade driven by rising oil prices, sharp appreciation in trading-market currencies, and steady decline in cocoa prices. - Despite a larger trade deficit, GDP grew by more than 6 percent in 2006, driven mainly by services and construction. - Year-on-year inflation: 24.6 percent in 2006, compared with 17.2 percent in 2005. - Causes of inflation cited: - temporary exogenous factors and fiscal and monetary growth; - domestic adjustment in fuel prices; - large unforeseen inflows of private capital and resulting accumulation of foreign exchange deposits; - some unplanned fiscal expenditure related to elections. ### Inflation dynamics (CPI) - End-period CPI: 24.6 percent in 2006; 17.2 percent in 2005. - Monthly percentage change series culminated at 5.1 percent in December (series shown Jan–Dec in source). ### Fiscal performance - Fiscal performance improved somewhat in 2006. - Primary balance (government’s current revenue minus expenditure) remained close to program targets: 15.5 percent of GDP. - Measures contributing to meeting objectives: - collection of overdue indirect taxes on petroleum products; - raising surtaxes on some imported goods, including alcoholic beverages and tobacco; - measures to curtail communications-related expenses. - First-half 2006 imbalances linked to three major elections and advances to the Treasury for donor-funded projects; objective met through corrective measures. ### Monetary policy and reserves - Central Bank: policy of controlling inflation in close coordination with fiscal policy; maintained a flexible exchange rate. - Operational changes: resumed single-price auctions and direct sales of foreign exchange based on market trends. - Reference rate: changed from 18.2 percent in 2005 to 28 percent in 2006. - Liquidity management in 2006: - issued certificates of deposit (CDs) for the first time at the end of December; - increased minimum reserve requirements to 24.5 percent in 2006. - Net international reserves: 24.7 (millions of USD) in 2006, equivalent to 4.4 (in months of exports of goods and services). ### Structural reforms and governance - Reinforced powers of the Inspectorate General of Finance to supervise and audit government financial operations. - Steps to restructure port and airport companies. - Significant progress preparing integrated government financial management system; approval of framework law on government finance and new budget classification. - Measures to improve business climate and governance: - promulgation of arbitration law and establishment of arbitration center; - anti-money laundering law submitted to the National Assembly; - tax reform law submitted to the National Assembly to reduce some tax rates and simplify tax payment procedures. ### Key macroeconomic indicators (as presented; entries preserved verbatim from source) - Real GDP growth (%): 3.44 1.5? 5? - GDPpm (in millions of dollars): 58.7 57.9 61.4 64.5 64.7 69.4 77.5 - GDP per capita (in dollars): 427.5 420.7 437.4 450.2 442.8 4665 10 - CPI (end-period; %): 9.6 9.4 8.9 9.9 15.2 17.2 24.6 - Unemployment rate (%): 14.4 15.7 17.6 16.4 16.1 14.8 n/a - Primary balance (nonoil; billions of DBS)1/: n/a n/a n/a -57.9 -128 -132a) -154 - Money supply (M3) (end-period; billions of DBS): 116.7 156.1 198.2 301.8 307.8 458.7 630.4 - Exports of goods & services (millions of USD): 16.3 16.1 18.5 20.7 20.1 21.1b) 24.8 - Imports of goods & services (millions of USD): -41.6 -44.8 -44.9 -52.8 -57 -63.8b) -67 - Net external supply (millions of USD): -25.3 -28.7 -26.4 -32.1 -36.9 -42.7 -42.2 - Nominal exchange rate DBS/USD (annual average): 7,978.2 8,842.2 9,089 9,348 9,902 10,558 12,445 - Net international reserves (millions of USD): 11.7 15.6 17.5 21.5 16.9 18.1 24.7 - (in months of exports of goods and services): 3.4 4.2 4.7 4.9 3.6 3.4 4.4 - Source cited for indicators: INE and Central Bank and IMF estimates - Note: 1/ Budget Directorate; a) and b) Estimates ### Economic outlook for 2007 (numbered points preserved) 1. Outlook for 2006 remains positive overall; external debt relief would fundamentally enhance external credibility. 2. Current outlook points to moderate growth in 2007: after an 8-percent growth in GDP in 2006, a rate of 7 percent is projected for 2007, reflecting structural reforms initiated at end-2006. 3. Budgetary policy goal for 2007: budget tightening to reduce the primary deficit to 12 percent of GDP. 4. Monetary policy for 2007: restrictive, to maintain price stability via active monetary and exchange policy instruments. 5. Prospective effects: removal of public debt imbalance could positively influence economy; however, high inflation and interest rate hikes will increase household debt-service burden and reduce purchasing power, constraining private consumption; budgetary containment will limit consumption and public investment growth. 6. External risks: (i) rise in oil prices given heavy dependence on oil; (ii) greater international competition in specialized export markets. 7. São Tomé and Príncipe entering oil exploration and production; agreements with international oil organizations underway. 8. Prospective oil exploration expected to have profound societal and economic effects across sectors. 9. Debt forgiveness opens avenues for international resources and can boost domestic saving for poverty reduction projects. 10. Major challenge: managing expectations given weak institutions and dearth of human resources. 11. Government priority in program implementation: reduce poverty focusing on education, health, public works, judicial system, and law and order while maintaining sustainable development and disciplined use of public resources. *Source: INE and Central Bank and IMF estimates* ### Social communications activities (summary) - Extended national radio network to all communities in the south and the autonomous region of Príncipe. - Directorate General of Media produces a weekly news bulletin in partnership with UNICEF, distributed in rural areas. - Television: activities underway to increase stations so entire autonomous region of Príncipe can have access to TV and radio in the first half of 2007. - Capacity building: workshop on “Freedom of the press and the role of the media in implementing the National Poverty Reduction Strategy.” ### Economic and Financial Governance — reforms and SAFE implementation - Legislative package adopted on tax reform, arbitration court law, and approval of commercial codes. - Government financial reform initiated with World Bank support: - adoption of new categories of expense per international practices; - new draft budget law and new budget classifier; - establishment of integrated computerized government financial management system (SAFE). - SAFE aim: provide timely and reliable information on budget execution using new budget classifier (Decree 4/2007 promulgated on January 17, 2007). - Submission for approval: law defining regulations for internal controls to increase Inspectorate General of Finance powers; establishment of database to register and track government financial operations. - Government procurement reform started May 2006 with World Bank support; National Coordination and Monitoring Committee (CNCS) created; preliminary report on bidding system weaknesses prepared. ### NPRS Pillar 2 — Accelerated Redistributive Growth - Central objective: create climate for private sector development via: 1. government divestment of the productive sector; 2. government as regulator of the economy; 3. government intervention in infrastructure to create private-sector opportunities. - Arbitration court created in 2006; arbitration center installed. - Diagnostic Study on Trade Integration and complementary activities to reduce commercial costs continued. - Plan to implement a new Investment Code after Assembly approval. - Sectoral strategy adopted for infrastructure development; use of PPPs and private participation in electricity sector emphasized. ### NPRS Pillar 3 — Creation of opportunities to increase and diversify incomes of the poor - Objective: reduce monetary poverty and eradicate hunger through agriculture, fisheries, livestock, employment, income-generating activities, youth and women training. - Long-term objective (next 15-20 years): stable economic and institutional environment focused on production growth/diversification, food security, improved socio-economic conditions, conservation of natural heritage, advancement of women and youth, export capacity development. - Priority Action Program (PAP) 2006 planned spending on Pillar III: US$13,120,000. - Estimated financial execution of the 2006 PIP: approximately US$1,805,000 or 14 percent of the estimate. - Recommendation: Government should be approached within international cooperation framework to raise financial resources necessary for Pillar III programs. ### Pillar 3 — Project highlights (selected) a) Agriculture and Rural Development - Irrigation system rehabilitation (Taiwan): guaranteed irrigation for approximately 550 food growers and horticulture farmers; reservoirs built for Bom Sucesso, Uba Cabra and Mesquita. - Agriculture/livestock diversification (Taiwan): activities to increase production of vegetables, legumes, fruit and poultry. - PAPAFPA: functional literacy for youth/adults; support organic cacao, vanilla, pepper processing. - Training: CATAP trained 44 professional farmers (33 men and 11 women). b) Fisheries - FAO-STP-3003 (A): improve fish quality after catch; training and equipment for conservation. - Capacity Building Project for Associative Movement of Fishermen (FAO): 12 “cooperative clusters” established and 20 PROA canoes built (planned 30). - Footnote: A total of 10 cooperative clusters were established, each representing a fishing community comprising 4 persons each. These 40 people received artisanal fishing boats. - UNDP grassroots support in Caué: microfinance statute drafted; community store set up in Malanza and Porto Alegre. c) Rehabilitation of rural infrastructure - Road maintenance fund (EDF) rehabilitated rural roads with Road Maintenance Interest Groups (GIME), creating some 1400 new jobs. - Rural dirt road segments rehabilitated: Abade to São Januário (0.72 km) and Palha – Cabeça Cal (0.76 km). d) Financing, project lists and execution (Tables summary; figures preserved) - Table 1 – PAP-2006 projects (millions of USD) selected rows: - Diversification of the agricultural and livestock sector: Total (2006-2008) 5000; PAP - 2006 2000; PIP Execution 2006 420 - Increase in and diversification of agricultural output: Total (2006-2008) 2500; PAP - 2006 833; PIP Execution 2006 1.129 - Improvement of rural infrastructure: Total (2006-2008) 22163; PAP - 2006 6237; PIP Execution 2006 46.6 - Total: Total (2006-2008) 43,708; PAP - 2006 13,120; PIP Execution 2006 1,805 - Source: Planning Directorate, Public Investment Program (PIP) 2006 - Table 2 – Selected projects under PIP–2006 without assured financing (figures preserved): - Total: Estimated (USD) 538,000; Actual (USD) (blank); Estimated (Dbs) 1,175,000; Actual (Dbs) (blank) ### Pillar 3 — Monitoring of indicators and constraints - NPRS indicators exist but tracking agriculture and rural development indicators not possible because sectors could not provide information. - Table 3 (select indicators preserved): - Incidence of extreme poverty in rural populations (2001): 22% - Weight of the agricultural sector in GDP (Data 2001): 22% 10.5 11.14 - Investment in replanting cacao crops (Unit Ha; Data 2000): 2000 - Support for family agriculture in planting Robusta coffee: Target 1000 (Unit Ha) - Rehabilitation/construction of farm roads Targets: 86 30 40 50 (Unit Km) - Families receiving plots of land: N.º de families 93 8,297; N.º Total 2000 40,000 - Constraints explaining lack of data: - Delay in household budget survey (HBS) by INE prevented measurement of poverty intensity, incidence, depth. - Agricultural census not conducted for more than 10 years. - Statistics units in Ministry of Economy nonfunctional. ### Pillar 4 — Human resources development and access to basic social services - Pillar prioritized areas: education, health, water and basic sanitation. - PAP education sector planned actions for 2006 valued at US$6,765,000; US$2,553,985.80 of the PIP was executed (38 percent of target). Education — selected program facts and indicators - PAP education objectives: eradicate illiteracy; universal basic education mandatory to grade 6; create technical secondary education system; build Ministry of Education institutional capacity. - Literacy program (Brazil cofinanced, phases 1 and 2): - 2,148 enrollees trained (1,123 men and 1,025 women). - 1,584 completed the program (825 men and 759 women). - Dropout rate: 26.7 percent. - Post-literacy (2006): - 559 students enrolled in 2006; 360 completed the fourth phase. - Government planned a third phase in 2006 to cover all districts. - Technical and vocational training (2006): - 74 students awarded domestic scholarships to the Polytechnic Center (construction, electrical, metalwork, industrial maintenance, auto mechanics). - French Cooperation: 16 students trained (construction/civil engineering – 6; electrical engineering – 6; industrial maintenance – 4). - Table 4 (selected rows preserved): - Pro-poor current expenditure (millions of USD): 2003 2.2; 2004 2.8; 2005 7.7; Target 2006-2008 3.6 - Total expenditure: 2003 6.0; 2004 4.6; 2005 8.6; 2006 Target 6.2 - Percentage of the general government budget: 13.5 7.0 9.4 10.3 - Education trends and observations (verbatim points preserved): 1. Number of students increased overall, except a slight decline in primary education in 2002-03. 2. Net enrollment rates show favorable change; primary education almost reached established goal. 3. Slight increase in percentage of girls: primary 48.4%; secondary 51%. 4. Student-teacher ratio primary education: 32; basic education ratio 25 reached 2015 target; secondary ratio 22. 5. Student-classroom ratio 2005-06: primary 65, basic 58, secondary 65. 6. Government actions: build/renovate classrooms, provide support to underprivileged, school transportation, teacher training. 7. Remaining challenges: scarcity of classrooms, continued three-shift systems, need for textbooks and trained teachers. Health — planned vs. spent and program components - PAP planned actions for 2006: US$9,433,000; spent: US$3,494,265.36 (35 percent of planned). - Table 5 (selected figures preserved): - Total expenditure (millions of USD): 2003 5.5; 2004 5.9; 2005 5.5; 2006 Target 6.5 - Percentage of the general government budget: 12.4 9.0 6.1 10.8 (Target) - Institutional strengthening: information system installation; EFQS restructuring; 83 nurses and 24 pharmacists trained and assigned. - Disease programs: Taiwan-funded malaria actions; Global Fund and PASS-supported TB and AIDS programs; immunization with GAVI support. - Infrastructure: Cantagalo Health Center construction launched; health station built in S. Marçal; eight community stations refurbished; ICU area and emergency bay works at Dr. Ayres de Menezes Hospital. Water and Sanitation — objectives and 2006 actions - NPRS objectives: increase access to public water supply, improve water quality, develop urban water carriage systems, protect water sources. - 2006 funded projects: rehabilitation of Amoreira I (ABEDA) aqueduct; clean water carriage systems I and II (ABEDA); Canga, Obo Longo, Pau Sabão water supply systems (Taiwan); laboratory for water analysis (Taiwan); rehabilitation of rural safe water systems. - Cholera response: collection and channeling of water, building/renovating water fountains and latrines, disinfection, awareness campaigns; public cleanup actions in Neves, schools, day care centers. Social Protection — actions and beneficiaries - Implementing arm: Social Action arm of Ministry of Labor, Social Security, Solidarity, Women, and Family. - 2006 resource uses: training at Budo-Budo Training School, payment of subsidies, emergency interventions. - Beneficiaries and supports: - 42 persons received subsidies after house fires. - Support for underprivileged mothers (school supplies). - Subsidies to NGOs in Seeds for the Future program. - Directorate intervened in funerals, medicine purchases, eyeglasses, construction materials, and hospital blood reception support. ### IV. Monitoring, indicators, and analysis of changes in NPRS indicators - Analysis based on administrative sources; mechanism for producing indicators to be established; INE tasked for 2007. - Poverty indicators not available due to HBS not carried out. - IV.2 Indicators of Access to Basic Social Services: - Teachers trained: 22 secondary school teachers and 66 primary school teachers trained in 2005-06. - Vocational training: Budo-Budo planned 34 actions, carried out 27; 221 students trained Jan–Sept; 16 students trained at Polytechnic Center. - Education physical implementation (Table 6) and trend indicators (Table 7) preserved with fragmented entries (students, enrollment rates, ratios, targets). - Health implementation and trend indicators (Tables 8 and 9) preserved with fragmented entries: - Life expectancy at birth: 66 (2003), 65 (2004), 65 (2005), 67.6 (2006). - Infant mortality (per 1,000 live births): 59 (2003), 47 (2004), 20/000 (2005). - Under-five mortality (per 1,000): fragmented entries including 98.7 (2003), 96.9 (2004), 53.8 (2005/2006). - Percentage vaccinated against measles: 86.4% (2003), 86.4% (2004), 83.8% (2005), 100% (2015 target). - Maternal mortality (per 100,000): 148.6 (2003), 287.9 (2004), 75.7 (2006). - HIV-AIDS prevalence among pregnant women aged 15-24: 1.5% (2005 and 2006). - Malaria indicators: significant declines in 2006 (fragmented numeric entries preserved in source). ### Health outcomes and trends (verbatim preserved findings) - No change in inhabitants per physician or per nurse in 2006. - Infant mortality under one year: 47 per mil (declined significantly in 2006). - Under-five mortality: 53.8 per mil (declined significantly in 2006). - Government aim: reduce malaria by 90 percent in 2010. - Maternal mortality declined in 2006; attributed to increased assisted births and interventions. - HIV/AIDS prevalence: no change in 2006; remains higher than established goal. ### Water and sanitation indicators (selected preserved entries) - No. of persons receiving water from the EMAE system: 27, 070 10, 298 83, 513 - Rate of water supply coverage through the EMAE: 59.6% - Access to treated water in percent: 20% 36.23 - Rate of coverage of pipe-borne water by the EMAE: 23.42 - No. of latrines built: 1,600250150 1,047 - Access to environmental sanitation in percent: 26%- - ### NPRS implementation, monitoring, and assessment mechanism - Mechanism established by Decree 32/2005; Poverty Reduction Observatory (PRO) designated as technical agency. - 2006 disruptions: political, economic and social events; need to inform XI constitutional government members and restart process. - Afristat and consultant missions engaged to install information system; missions faced scheduling delays. - Constraints faced by PRO: - Insufficient staff; - training needs in project implementation and monitoring; - nonexistence of data; - lack of motivation of focal points (insufficient salaries, lack of equipment); - no sectoral coordination and accountability mechanisms. - Preparatory work underway to implement technical committee and advisory council to start operating in 2007. ### Conclusions and recommendations (numbered as in source) 1. NPRS implementation through PAP 2006-2008 made some progress given measures and reforms, but execution level of planned projects is low due to lack of resources; sectoral round tables and prospects for debt forgiveness expected to improve results in 2007. 2. Functioning of NPRS implementation, monitoring and assessment mechanism requires stability and stakeholder ownership; PRO efforts in first half of 2007 should focus on implementing the mechanism. 3. To monitor trends in NPRS implementation (physical and financial), real ownership of NPRS and absolute consistency between the PIP and PAP are required. 4. Weak sector organization and poor information circulation hinder focal points’ monitoring activities and reporting. 5. Training in monitoring implementation is imperative at both sectoral level and PRO. ### Annex 1 — Assessment of implementation of the matrix of measures (selected items preserved) - Pillar I (public institutions, governance): multiple measures noted with statuses such as Not completed, Partially completed, In progress, or No information available (examples: Define legal framework for conflicts of interest — Not completed; Strengthen oversight and audit institutions — Technical training conducted; Arbitration court and national arbitration center — created). - Pillar II (redistributive growth): measures include provisional land title register (2007-2008), one stop shop steps, creation of marketing and coordination offices for port/airport development; several items Not completed or In progress. - Pillar III (income diversification): publish register of land titles — Not completed; fisheries master plan preliminary draft being prepared. - Pillar IV (human resources and social services): many education and health items Not completed or In progress; PASS project supports institutional reform in education and basic health. - Pillar V (NPRS monitoring): Establish the network of focal points — COMPLETED; Approve regulations on Observatory operation — Not completed. - Poverty reduction spending — Public Investment Program (Annexes 2: Actuals for 2006): - 2006 Exchange Rate: 1 USD= 12.500 STD - Selected project-level planned vs executed (IN USD) (selected entries preserved): - Construction of low-cost housing – Phase 2: PLANNED 280,000.0; EXCUTED 249,465.44 - Resurfacing and maintenance of secondary and main roads: PLANNED 3,840,000.0; EXCUTED 1,133,247.00 - Refurbishing of the Amorera aqueduct: PLANNED 1,000,000.0; EXCUTED 59,050.00 - MINISTRY OF PUBLIC WORKS AND INFRASTRUCTURE totals (subset): PLANNED 5,874,878.0; EXCUTED 2,212,668.52 - MINISTRY OF HEALTH totals (selected items): PLANNED 2,865,600.0; EXCUTED 3,494,265.36 - MINISTRY OF EDUCATION, CULTURE, YOUTH AND SPORTS totals: PLANNED 2,950,458.4; EXCUTED 2,553,985.80 - MINISTRY OF ECONOMY totals: PLANNED 2,473,233.6; EXCUTED 1,805,918.64 - Aggregate planned and executed totals: - PLANNED (IN USD): 20,185,658.2 - EXCUTED (IN USD): 13,643,252.6 - Alternate exchange rate line: Exchange Rate 2006 1 USD= 12 445 STD - Total national budget expenses in USD: USD: 60,000,000.00 - Percent figures (as provided): 5.93% ; 5.02% ; 0.15% _Italic: Source: _cr08154 (chapter/sections from the provided IMF PDF)._ ### 2.1 Economic Performance in 2006 6 ### 2.1 Economic Performance in 2006 ### Macroeconomic performance and drivers - The economy of São Tomé and Príncipe continues to be heavily dependent on the situation of the international economy, reflected in a steady deterioration of its terms of trade, mainly as a result of rising oil prices, the sharp appreciation in the currencies of São Tomé and Príncipe’s trading markets, combined with a steady decline in the price of its principal export product, cocoa. - Despite a larger trade deficit, economic activity improved somewhat, driven mainly by the services and construction sectors, with GDP growing by more than 6 percent in 2006 which, if sustained, is sufficient for STP to attain the Millennium Development Goals (MDGs). - Year-on-year inflation rose to 24.6 percent in 2006, compared with 17.2 percent in 2005. Causes cited include: - temporary exogenous factors and fiscal and monetary growth; - domestic adjustment in fuel prices; - large unforeseen inflows of private capital and the resulting accumulation of foreign exchange deposits; - some unplanned fiscal expenditure related to elections. ### Inflation dynamics (CPI) - End-period CPI: 24.6 percent in 2006, 17.2 percent in 2005. - Monthly cumulative inflation and monthly percentage change series are shown for Jan–Dec, with cumulative inflation reaching 24.6 percent by December and monthly percentage changes culminating at 5.1 percent in December (figure labels preserved from source). ### Fiscal performance - Fiscal performance improved somewhat in 2006. - The primary balance derived from the difference between the government’s current revenue and its expenditure remained close to program targets (15.5 percent of GDP). - Measures that contributed to meeting objectives included: - collection of overdue indirect taxes on petroleum products; - raising of surtaxes on some imported goods, including alcoholic beverages and tobacco; - measures adopted to curtail communications-related expenses. - Despite imbalances in the first half of 2006 linked to three major elections and advances to the Treasury for donor-funded projects, the objective was met through the above measures. ### Monetary policy and reserves - The Central Bank continued a policy of controlling inflation in close coordination with fiscal policy, while maintaining a flexible exchange rate. - The Central Bank resumed single-price auctions and direct sales of foreign exchange based on market trends. - The monetary authority observed the goal of maintaining positive real interest rates; the Central Bank’s reference rate changed from 18.2 percent in 2005 to 28 percent in 2006. - To mop up excess liquidity in 2006: - the Central Bank issued certificates of deposit (CDs) for the first time at the end of December; - minimum reserve requirements were increased to 24.5 percent in 2006. - Net international reserves reached 24.7 (millions of USD) in 2006, equivalent to 4.4 (in months of exports of goods and services). ### Structural reforms and governance - Structural reforms progressed significantly: - powers of the Inspectorate General of Finance were reinforced to better supervise and audit government financial operations; - steps taken to restructure the port and airport companies; - significant progress preparing the integrated government financial management system with approval of the framework law on government finance and a new budget classification. - Measures to improve the business climate and strengthen governance included: - promulgation of the arbitration law and establishment of an arbitration center; - submission of the anti-money laundering law to the National Assembly for approval; - submission of the tax reform law to the National Assembly which seeks to reduce some tax rates and to simplify procedures for making tax payments. ### Key macroeconomic indicators (as presented) - Real GDP growth (%): 3.44 1.5? 5? (table entries preserved in source formatting) - GDPpm (in millions of dollars): 58.7 57.9 61.4 64.5 64.7 69.4 77.5 - GDP per capita (in dollars): 427.5 420.7 437.4 450.2 442.8 4665 10 - CPI (end-period; %): 9.6 9.4 8.9 9.9 15.2 17.2 24.6 - Unemployment rate (%): 14.4 15.7 17.6 16.4 16.1 14.8 n/a - Primary balance (nonoil; billions of DBS)1/: n/a n/a n/a -57.9 -128 -132a) -154 - Money supply (M3) (end-period; billions of DBS): 116.7 156.1 198.2 301.8 307.8 458.7 630.4 - Exports of goods & services (millions of USD): 16.3 16.1 18.5 20.7 20.1 21.1b) 24.8 - Imports of goods & services (millions of USD): -41.6 -44.8 -44.9 -52.8 -57 -63.8b) -67 - Net external supply (millions of USD): -25.3 -28.7 -26.4 -32.1 -36.9 -42.7 -42.2 - Nominal exchange rate DBS/USD (annual average): 7,978.2 8,842.2 9,089 9,348 9,902 10,558 12,445 - Net international reserves (millions of USD): 11.7 15.6 17.5 21.5 16.9 18.1 24.7 - (in months of exports of goods and services): 3.4 4.2 4.7 4.9 3.6 3.4 4.4 - Source cited for indicators: INE and Central Bank and IMF estimates - Note in table: 1/ Budget Directorate; a) and b) Estimates ### Economic outlook for 2007 (numbered points preserved) 1. The economic outlook for 2006 remains positive overall. The outlook is particularly good for external debt relief, which would fundamentally enhance the country’s external credibility. 2. The current outlook for the Sãotomean economy points to moderate growth in economic activity for 2007. After an 8-percent growth in GDP in 2006, a rate of 7 percent is projected for 2007, which will be a reflection of the structural reforms initiated at end-2006. 3. The goal of budgetary policy for 2007 will continue to be budget tightening, the ultimate goal being to reduce the primary deficit to 12 percent of GDP. 4. Like budgetary policy, monetary policy for 2007 will continue to be restrictive, with a view to maintaining price stability by making more active use of monetary and exchange policy instruments. 5. In 2007, contrary to previous years, the dynamics of the Sãotomean economy may be positively influenced by the possible removal of one of the imbalances that had accumulated in recent years and had largely hampered the country’s economic growth, namely the public debt. However, given the continued high level of inflation and, consequently, the current interest rate hikes, there will be an increase in the burden of debt service on household expenses and a reduction in the purchasing power of their income, which factors will determine the growth of private consumption. On the other hand, the imbalance in the budget and the resulting need to contain public sector spending will involve limited growth of consumption and public investment. 6. In addition, despite the high growth rate of the principal markets to which the country exports, two international phenomena may be particularly problematic for the Sãotomean economy: (i) the rise in oil prices accompanied by the economy’s heavy dependence on oil1; (ii) greater international competition in markets where Sãotomean exports are very specialized, given the increasing integration of international trade. 7. São Tomé and Príncipe is in the process of oil exploration and production that is vital for shaping the country’s future. It is entering into several agreements with international oil organizations to realize this activity. 8. Prospective oil exploration in São Tomé and Príncipe will have a profound impact on the Sãotomean society, bringing with it unlimited expectations—job opportunities, new markets, dramatic improvements in infrastructure and services—and creating a very promising outlook for the economy, not only in the oil industry but also in the other sectors that shape the economic system. As a result, its effects will be felt in all sectors of the country’s economic, social and political life. 9. In that regard, debt forgiveness has been an important step that has opened avenues for the country to access international resources. It has also meant that fewer resources are being sent abroad and can be used to boost domestic saving that will be channeled into poverty reduction projects. 10. Notwithstanding, the country faces the major challenge of determining how it will manage these expectations in light of its weak institutions and, especially, the dearth of human resources. 11. In order to maximize the positive impact of these opportunities, the government, in the context of program implementation, has set as a priority the pursuit of goals that would reduce poverty, targeting mainly the areas of education, health, public works, the judicial system, and law and order, in addition to maintaining sustainable economic and social development, based on a disciplined and rational approach to the use of public resources. *Source: INE and Central Bank and IMF estimates* ### 6. The following social communications activities were carried out: ### _cr08154 - 6. The following social communications activities were carried out: ### Social communications activities - Broader coverage of the radio broadcasting network: extension of the national radio network to all the communities in the south and the autonomous region of Príncipe, enabling these communities to access information via radio. - Directorate General of Media produces a weekly news bulletin in partnership with UNICEF, distributed in rural areas. - Television: activities under way to increase the number of stations so that the entire autonomous region of Príncipe can have access to TV and radio in the first half of 2007. - Capacity building: training workshop on “Freedom of the press and the role of the media in implementing the National Poverty Reduction Strategy.” ### Economic and Financial Governance - Adoption of a legislative package on tax reform, the law establishing the arbitration court, and approval of the commercial codes. - Initiation of government financial reform with World Bank support, with activities under way including: - adoption of new categories of expense in accordance with international practices; - new draft budget law; new budget classifier; - establishment of an integrated computerized government financial management system (SAFE), resulting in harmonized programming rules and procedures, and improved execution, control and assessment of public resources. - SAFE implementation aim: provide timely and reliable information on budget execution by means of the new budget classifier2, enabling civil society to monitor programs, purposes, expected results, executing agencies, inputs and outputs, scope of government action, and sources of financing. - Submission for approval of the law defining regulations for internal controls to increase powers of the Inspectorate General of Finance for supervision and auditing of central and local government and public enterprises; establishment of a database to register and track government financial operations to build auditing and tax inspection capacity. - Start of government procurement reform in May 2006 with World Bank support: creation of a National Coordination and Monitoring Committee (CNCS) and preparation of a preliminary report on bidding system weaknesses pending recruitment of an international consultant. - Other measures: - Assessment of capacity to install information and communications technology infrastructure; planning between the Ministry of Planning and Finance and other ministries; an IT master plan to guide SAFE. - Drafting of the basic law on organization of the arbitration court. - Pending approval: legal regime governing customs violations and the Customs Code to reorganize, adjust, simplify and modernize services, update mechanisms to prevent tax evasion and facilitate more modern and efficient customs management. 2 This budget classifier was created on the basis of Decree 4/2007 and promulgated on January 17, 2007. ### Pillar 2: “Accelerated Redistributive Growth” - Central objective: create a favorable climate for private sector development emphasizing: 1. government divestment of the productive sector; 2. transformation of the government into the regulator of the economy; 3. government intervention in infrastructure to create opportunities for private sector development. - Arbitration court created in 2006 by promulgation of the arbitration law and installation of an arbitration center to update the legal framework for trade and improve the business climate. - Continued implementation of the Diagnostic Study on Trade Integration and complementary activities to reduce commercial costs and facilitate integration. - Plans to implement a new Investment Code after Assembly approval to facilitate equal treatment for nationals and foreigners regarding tax and customs incentives to stimulate investment. - Sectoral strategy adopted for development of infrastructure to establish industry, develop the transport sector, and improve and expand power distribution. - Use of business modalities to guarantee strong private sector participation in the electricity sector to promote public private partnerships (PPP), decentralize production costs, and improve productivity in public goods supply by private entities. ### Pillar 3: “Creation of opportunities to increase and diversify the incomes of the poor” - Objective: reduce monetary poverty of the most vulnerable and eradicate hunger through actions in agriculture, fisheries, livestock, employment, income-generating activities, youth, women, and training for self-employment and first-time employment. - Projected long-term objective (next 15-20 years): establish a stable economic and institutional environment focused on: - Production growth and diversification; - Assurance of food security; - Improved socio-economic conditions for rural, urban and peri-urban areas; - Conservation of natural heritage; - Advancement of women and youth; - Development of export capacity. - Priority Action Program, 2006 (PAP) under the NPRS plans to spend US$13,120,000 on Pillar III. - Estimated financial execution of the 2006 PIP during the period: approximately US$1,805,000 or 14 percent of the estimate. - 2006 PIP efforts focused on sectors below. #### a) Agriculture and Rural Development - Irrigation system rehabilitation project (financial support from Taiwan): guaranteed irrigation for approximately 550 food growers and horticulture farmers; water reservoirs built for Bom Sucesso, Uba Cabra and Mesquita to improve agricultural output and domestic fresh produce supply. - Agriculture/livestock diversification project (financial support from Taiwan): activities to improve and increase production of vegetables, legumes, fresh fruit and poultry for the domestic market; testing, selecting, improving and disseminating varieties to local farmers. - Program of Participatory Support for Artisanal Agriculture (PAPAFPA): functional literacy for youth and adults in rural areas, support in combating rodents, continued support for organic cacao, vanilla and pepper processing. - Support for marketing foodstuffs (agricultural fairs) and support for millet production to increase farmers’ incomes in remote areas with limited market access. - Project to Train Youth in Horticulture at the Technical Training Center for Agriculture and Livestock (CATAP): two training cycles training a total of 44 professional farmers (33 men and 11 women) in horticultural output and agrofood industry techniques for processing excess production (tomato paste, pickled vegetables, and blood sausage). #### b) Fisheries - FAO-STP-3003 (A) Project (technical and financial assistance from FAO): improve fish quality after catch to increase fishmongers’ income; training in hygiene, conservation and marketing; acquisition of means of conservation, ice boxes and cold storage rooms; NGO MARAPA participated in sector organization and training. - Capacity Building Project for the Associative Movement of Fishermen (financed by FAO): increase incomes by creating “cooperative clusters” and introducing new canoe-building technologies (smoother sailing, improved catch capacity, replacement of wood by plywood). - Under the project, 12 “cooperative clusters” were established and 20 PROA canoes were built (of the planned 30). - Note: footnote states: A total of 10 cooperative clusters were established, each one representing a fishing community comprising 4 persons each. These 40 people received artisanal fishing boats. - Project to support grassroots communities in local governance and poverty reduction (financed by UNDP) for 20 communities in Caué: drafted a microfinance statute to grant microcredits for microprojects in agriculture, fisheries, and livestock; a community store set up and stocked to sell fishing and other inputs in Malanza, Porto Alegre and neighboring areas; NGOs played a key role in capacity building and civil society engagement. #### c) Rehabilitation of rural infrastructure - Road maintenance fund in partnership with the European Union (EDF) rehabilitated and maintained some rural roads with participation of Road Maintenance Interest Groups (GIME), creating a total of some 1400 new jobs in rural and urban areas. - Rural dirt road segments rehabilitated: Abade to São Januário (0.72 km) and Palha – Cabeça Cal (0.76 km). - These activities aim to improve local communities’ access to domestic markets and circulation of vehicles and people. #### d) Financing, project lists and execution (Tables summary) - Table 1 – Projects listed in the PAP-2006 and executed under the PIP (millions of USD): - Better guarantee of land ownership: Total (2006-2008) 125; PAP - 2006 125; PIP Execution 2006 0 - Diversification of the agricultural and livestock sector: Total (2006-2008) 5000; PAP - 2006 2000; PIP Execution 2006 420 - National Forestry Management Program: Total (2006-2008) 1000; PAP - 2006 450; PIP Execution 2006 0 - Improvement of the conditions of transshipment, conservation, and distribution of fish: Total (2006-2008) 5500; PAP - 2006 1500; PIP Execution 2006 0 - Increase in and diversification of agricultural output: Total (2006-2008) 2500; PAP - 2006 833; PIP Execution 2006 1.129 - Improvement of rural infrastructure: Total (2006-2008) 22163; PAP - 2006 6237; PIP Execution 2006 46.6 - Improvement of urban services and infrastructure: Total (2006-2008) 5200; PAP - 2006 1550; PIP Execution 2006 1.6 - Accompanying program: Total (2006-2008) 2220; PAP - 2006 425; PIP Execution 2006 8 - Support to the private sector: PAP - 2006 200 - Total: Total (2006-2008) 43,708; PAP - 2006 13,120; PIP Execution 2006 1,805 - Source: Planning Directorate, Public Investment Program (PIP) 2006 - Table 2 – Projects under the PIP–2006 without assured financing (selected entries): - 1 EEZ supervision project, Fisheries Directorate: Estimated (USD) 108,000; Actual (USD) Not completed; Estimated (Dbs) 0; Actual (Dbs) (blank) - 2 Agricultural development in rural areas, Agriculture Directorate: Estimated (USD) 170,000; Actual (USD) Not completed; Estimated (Dbs) 0; Actual (Dbs) (blank) - 3 Management of the cacao gene pool, Agriculture Directorate: Estimated (USD) 0; Actual (USD) (blank); Estimated (Dbs) 150,000; Actual (Dbs) Not completed - 4 ECOFAC-IV project, Directorate General of Environment: Estimated (USD) 260,000; Actual (USD) Not completed; Estimated (Dbs) 0; Actual (Dbs) (blank) - 5 Support for rural development, Agriculture Directorate: Estimated (USD) 0; Actual (USD) (blank); Estimated (Dbs) 600,000; Actual (Dbs) Not completed - 6 Supervision/proposed resizing of distributed lands, Land Reform Office: Estimated (USD) 0; Actual (USD) (blank); Estimated (Dbs) 300,000; Actual (Dbs) Not completed - 7 Provision of agricultural and fisheries supplies, Directorate of Agriculture and Fisheries: Estimated (USD) 0; Actual (USD) (blank); Estimated (Dbs) 125,000; Actual (Dbs) Not completed - 8 Total: Estimated (USD) 538,000; Actual (USD) (blank); Estimated (Dbs) 1,175,000; Actual (Dbs) (blank) - Source: Planning Directorate, Public Investment Program (PIP) 2006 - Observations: - Tables 1 and 2 show that the NPRS Priority Action Plan (PAP) for 2006-2008 included projects identified and scheduled for 2006 but without financing in the 2006 PIP; consequently, many 2006 PIP projects were not executed owing to scarcity of resources. - Recommendation: the government should be approached within the framework of international cooperation to raise financial resources necessary for planned programs under Pillar III, given the pillar’s importance for poverty reduction and compliance with the first MDG. #### d) Monitoring of Pillar III Indicators - NPRS defined indicators and goals for implementation; however, tracking agriculture and rural development indicators was not possible because the sectors involved could not provide the information. - Table 3 – Quantified Poverty Reduction Objectives, Indicators and Targets (Agriculture and Rural Development) (select entries preserved as in source): - Incidence of extreme poverty in rural populations: “Poverty Profile” study 2000-2001, 2001; Unit %; Data 2001 22% - Weight of the agricultural sector in GDP: INE; Unit %; Data 2001 22% (followed by numeric sequence 10.5 11.14 in source) - Investment in replanting cacao crops: NPRS Action Plan; Unit Ha; Data 2000 2000 - Investment in replanting coffee crops: NPRS Action Plan; Unit Ha; Data 2000 2000 - Support for family agriculture in planting Robusta coffee: PAP; Unit Ha; Target 1000 - Rehabilitation/construction of farm roads: PAP; Unit Km; Targets 86 30 40 50 - Families receiving plots of land: N.º de families 93 8,297; N.º Total 2000 40,000 - Source: National Poverty Reduction Strategy/Priority Action Program 2006-2008 - Constraints explaining lack of data: - Delay in conducting the household budget survey (HBS) by the National Statistics Institute prevented measurement of intensity, incidence, and depth of poverty in rural areas. - Failure to conduct the agricultural census (RU) for more than 10 years prevented an up-to-date sector assessment after land redistribution, complicating indicator definition and monitoring. - Statistics units in the Ministry of Economy were nonfunctional for producing statistical data. ### Pillar 4: “Human resources development and improved access to basic social services” - Pillar prioritized through essential NPRS areas: education, health, water and basic sanitation. - Review of sector performance follows. #### Education - PAP education sector objectives: a) eradication of illiteracy; b) universal basic education mandatory up to grade 6, broaden access and improve quality and effectiveness of teaching-apprenticeship process; c) creation of a technical secondary education system with strong emphasis on job training; d) building institutional capacity of the Ministry of Education. - These objectives align with the XI constitutional government program in education and MDG targets. - PAP planned actions for the year valued at US$6,765,000. - US$2,553,985.80 of the PIP was executed, equivalent to 38 percent of the target. - Table 4. Program of Education Sector Spending (millions of USD) (select rows preserved): - Pro-poor current expenditure: 2003 2.2; 2004 2.8; 2005 7.7; Target 2006-2008 3.6 - Capital expenditure: 2003 3.8; 2004 1.8; 2005 0.9; Target 2006-2008 2.6 - Total expenditure: 2003 6.0; 2004 4.6; 2005 8.6; Target 2003-2005 7.9; 2006 Target 6.2 - Percentage of the general government budget: 13.5 7.0 9.4 10.3 - Source: Planning Directorate and Budget Directorate a) Literacy - Objective: significantly reduce illiteracy by consolidating literacy, post-literacy, and alternative basic education programs for youth and adults. - Literacy partnership program cofinanced by the Brazilian government implemented 2001–2005 (phases 1 and 2) with two components: 1. Functional Literacy: targets persons who do not know how to read or write and includes integrated science, Portuguese language, and mathematics. During phases 1 and 2: - 2,148 enrollees were trained (1,123 men and 1,025 women). - 1,584 completed the program (825 men and 759 women). - Dropout rate recorded: 26.7 percent. *Source: _cr08154 - 6. The following social communications activities were carried out* ### 2. Post-literacy ### 2. Post-literacy ### Post-literacy component: objectives and outcomes - Purpose: prevent persons enrolled in functional literacy from backsliding into illiteracy by giving them the opportunity to continue through grades 3 and 4. - Financing: activities financed with government co-participation through the PIP. - Enrollment and completion in the period under analysis: 559 students enrolled in 2006, 360 of which completed the fourth phase during that time. - Impact: motivated students to continue education through evening classes, led to opening of night schools in districts, motivated some girls to continue studies, contributing to broadening universal basic education. - International cooperation: Brazilian technical team provided technical training to literacy workers and coordinators in São Tomé and in the autonomous region of Príncipe in youth and adult education methodology. - Program planning: given impact of first and second phases, government decided in 2006 to plan a third phase; resources released in 2006 made it possible to prepare a third phase to cover all districts. ### Universal basic education (summary of activities) - Targeted activities: increase access and improve quality by building/renovating schools and outfitting classrooms, training teachers, distributing textbooks, providing school transportation, and domestic scholarships for the poor. - Supporting documentation: list of projects executed in the sector appears in Annex 2 (not reproduced here). ### Technical and vocational training: activities and outcomes - Rationale: high importance in reducing poverty given youth unable to continue after 9th grade seeking vocational training or first jobs without qualifications. NPRS objective: restructure secondary education and vocational training to increase access and improve quality via building/refurbishing schools, institutional development, and teacher training. - Scholarships and training in 2006: 74 students awarded domestic scholarships to the Polytechnic Center in construction/civil engineering, electrical engineering, metalwork, industrial maintenance, auto mechanics. - International partnership and training: in partnership with the French Cooperation Ministry, 16 students trained as follows: construction/civil engineering – 6 students (5 male and 1 female); electrical engineering – 6 youths; industrial maintenance – 4 students (3 male and 1 female). - Employment outcomes: training facilitated entry into enterprises including EMAE, ENAPOR, Electro-Frio; some students continued studies in the National High School; others worked at the Ministry of Infrastructure. ### Health: objectives, planned vs. spent, and program components - Four planned objectives for poverty reduction in health: 1. institutional strengthening, organization and operation of the health sector; 2. health promotion and protection in combating disease; 3. improvement in the provision of health care; 4. improvement in health infrastructure. - Planned versus actual spending for 2006: PAP planned actions amounting to US$9,433,000 for 2006 but only US$3,494,265.36 was spent, the equivalent of 35 percent of the planned amounts, including support from bilateral and multilateral partners (Global Fund, Republic of Taiwan, Portugal, the U.S.A., WHO, UNFPA, UNICEF, NGOs, etc.). - Table 5 (Planned Health Sector Spending, millions of USD) — figures preserved as in source: - Pro-poor current expenditure: 1.5 (2003), 2.0 (2004), 1.8 (2005), 3.0 (Target 2003-2005), [blank] (2006 Target 2008) - Capital expenditure: 4.0 (2003), 3.9 (2004), 3.7 (2005), 3.5 (Target 2003-2005) - Total expenditure: 5.5 (2003), 5.9 (2004), 5.5 (2005), 10.5 (Target 2003-2005), 6.5 (2006 Target 2008) - Percentage of the general government budget: 12.4 (2003), 9.0 (2004), 6.1 (2005), 10.8 (Target 2003-2005) - Source: Planning Directorate and Budget Directorate - a) Institutional strengthening: installation and operationalization of the information system (computer equipment, consultant to design system, creation of tools); financed by the Treasury and the PASS Project and not yet completed. Restructuring of EFQS (Health Professionals Training School) financed by Calouste Gulbenkian Foundation through Red Cross nursing school. Eighty-three nurses and 24 pharmacists trained and assigned to hospitals, health centers and stations. WHO financed consulting for drafting national plans and policies. - b) Health promotion/protection and combating disease: Taiwan-funded malaria actions with promising results; anti-tuberculosis and AIDS program actions supported by the Global Fund and PASS Project including awareness campaigns, in-home disinfection, and use of treated mosquito nets. - c) Improvement in provision of health care: support to health districts through small-scale actions supplying basic drugs, laboratory consumables, reagents. Valle Flôr project financed by IPAD disseminated health care services in all districts under Health For All project. UNFPA and UNICEF supported mother-and-child care; GAVI supported immunization and introduction of new vaccines. - d) Infrastructure improvement: construction of Cantagalo Health Center launched; health station built in S. Marçal with domestic funding; eight community stations refurbished. At Dr. Ayres de Menezes Hospital: intensive care area constructed, emergency bay refurbished, small infrastructural improvements and diagnostic equipment purchased. Purpose: guarantee greater accessibility and equity in basic health care. ### Water and Sanitation: objectives and 2006 actions - NPRS planned objectives for water sector: a) increase population access to public water supply through private hookups and standpipes; b) improve water quality; c) develop existing urban water carriage systems; d) build capacity to protect water sources and control quality. - Planned PAP actions include: - preparation of hydrological and hydrogeological study to define policy for domestic water consumption and agricultural, industrial and energy production; - rehabilitation and expansion of existing supply systems; - installation of water treatment systems to combat water-borne diseases; - public awareness and education campaigns on rational water use and protection/conservation of sources; - improvement of institutional framework. - 2006 funded prior actions and projects with assured financing: rehabilitation of the Amoreira I (ABEDA) aqueduct; clean water carriage systems I and II (ABEDA); Canga, Obo Longo, and Pau Sabão water supply systems (Taiwan); building laboratory for water analysis (Taiwan); rehabilitating safe water supply systems in rural areas. - Cholera response: government with partners and NGOs intervened to collect and channel water, build/renovate water fountains and latrines, disinfect homes/places with cases, and run awareness campaigns. Public participated in cleanup and trash removal in Neves and in schools and day care centers, and in collection, construction and renovation processes. ### Social Protection: actions and beneficiaries - Implementing arm: Social Action arm of the Ministry of Labor, Social Security, Solidarity, Women, and Family. - 2006 resource uses: training actions in the Budo-Budo Training School, payment of subsidies, and addressing pressing problems. - Specific beneficiaries and support: - 42 persons whose houses had been destroyed by fire received subsidies. - Support and social outreach to underprivileged mothers so their school-age children benefited from school supplies purchases (clothing, backpacks, binders). - Subsidy provided support for NGOs in the Seeds for the Future program (financial support to NGOs engaged in social actions with underprivileged school-age children, including orphans and the handicapped). - Directorate intervened in emergencies: funerals, purchases of medicine, eyeglasses, school supplies, construction materials, sheets of galvanize, and financial support for receiving blood from the Hospital Center. ### IV. Analysis of Changes in NPRS Indicators — methodology note - Analysis performed on indicators obtained from administrative sources because the mechanism for producing indicators has not yet been established; task entrusted to INE for 2007. - IV.1 Poverty Indicators: not available because the household budget survey has not been carried out. ### IV.2 Indicators of Access to Basic Social Services — training and education activity counts - Teachers trained: 22 secondary school teachers and 66 primary school teachers trained in 2005-06. - Vocational training: Budo-Budo Vocational Training Center planned 34 training actions and carried out 27; between January and September, 221 students were trained. Sixteen students trained at the Polytechnic Center. - These efforts contribute to improvements in indicators presented below. ### IV.2.1 Education — physical implementation and trends - Table 6 (Physical Implementation of the Education/Training Program) — figures preserved as in source: - No. of classrooms built 2002/03: 69; entries for 2003/04, 2004/05, 2005/06 marked n/a in places. (Table contains fragmented entries: "Primary education 43 n/a", "Basic education (grades 5 & 6) 22 n/a", "Secondary education 8 n/a", "280271394 88", "280271264 66", "No. of teachers trained Primary education Secondary education (grades 5-8) n/a n/a 130 22", "No. of people who received vocational training 495+28 221+16". Source: PASS Project/Planning and Statistics Department of the Ministry of Education; Budo-Budo Vocational Training Center and Polytechnic Center.) - Table 7 (Trend in Education Indicators) — figures preserved as in source (fragmented table entries): - No. of students: 22,491 (2002/03), 22,367 (2003/04), 22,721 (2004/05), 62,000 (2015 target) - Net enrollment rate: 97% (2002/03), 98% (2003/04), [blank] (2004/05/2005/06), 100% (2015) - Percentage of girls: 48% (given in table) - Completion rate: 81% (2002/03), 82.9% (2003/04) - Student-teacher ratio: 31 (2002/03), 32 (2003/04), 33 (2004/05), 30 (2015 target) - Student-classroom ratio: 68 (2002/03), 62 (2003/04), 66 (2004/05), 30 (2015 target) - Other fragmented entries preserved as in source: "Enrolment rate 98.6%", "Female enrolment rate 98.4%", "Primary education (grades 1-4) Literacy rate (youth and adults) 84.6%", and various counts for students and ratios across levels. - Key findings and observations (verbatim points from source): 1. The number of students increased, except in primary education where there was a slight decline in the numbers with a shift in the 2002-03 school year. The government needs to pay attention to this. 2. Available data show a favorable change in the net enrollment rate for all levels of education, especially primary education which almost reached the established goal. 3. Slight increase in the percentage of girls attending school, both in primary education (48.4%) and in secondary education (51%). The percentage of girls in basic education corresponds to half the students at that level. 4. The student teacher ratio in primary education is 32. The year 2005-06 saw no departure from the favorable trend in this indicator since 2003, bringing the country very close to the 2015 target of 30. In basic education, the student teacher ratio (25) reached the target set for 2015 (25), and in secondary education, the ratio (22) fell just short of that goal of 25. 5. Student-classroom ratio for 2005-06: 65 students per classroom in primary education, 58 in basic education, and 65 in secondary education. 6. Student-class ratio: primary education (39), basic education (43), secondary education (51), closer to MDG target of 30 but indicating demand exceeds supply. - Government actions contributing to trends: - improve access by building and renovating schools/classrooms, providing support to underprivileged, school transportation; - improve quality and effectiveness via formulating and executing an EFA project, training teachers, rehabilitating latrines, producing school supplies; - teacher training in 2006: 22 secondary and 66 primary school teachers trained; primary school teachers trained mainly in districts of Caué (26 teachers: 22 male and 4 female) and Cantagalo (40 teachers: 24 male and 16 female). - Remaining challenges highlighted: scarcity of classrooms, continuation of three-shift system in a number of schools, need to build classrooms, provide textbooks, increase number of trained teachers and assign them to appropriate levels to reduce failures and prevent overcrowding. ### IV.2.2 Health — implementation and trend indicators - Table 8 (Physical Implementation of Health Programs) — figures preserved as in source: - Nº of health units built: 30 (2003), n/a (2004), [blank entries for 2005,2006], 2 (2015) - Nº of nurses and health specialists trained: 274 (2003), 1107 (2004), [blank for 2005,2006], [blank for 2015] - Source: Ministry of Health Statistics Department - Table 9 (Trend in health indicators) — figures preserved as in source (fragmented and verbatim): - Life expectancy at birth: 66 (2003), 65 (2004), 65 (2005), 67.6 (2006) - Inhabitants/physician: 2284 (2003), 2284 (2004), 2284 (2005) - Inhabitants/nurse: entries include "908800", "800" (as presented) - Infant mortality rate (per 1,000 live births): 59 (2003), 47 (2004), 20/000 (2005) - Under-five child mortality rate (per 1000): 98.7 (2003), 96.9 (2004), 4,6 94.6 53.8 (2005/2006 entries fragmented), 40/000 (2015 target) - Percentage of children vaccinated against measles: 86.4% (2003), 86.4% (2004), 83.8% (2005), 100% (2015 target) - Maternal mortality rate (per 100,000): 148.6 (2003), 287.9 (2004), n/a (2005), 75.7 (2006), 17/100 000 (2015 target) - Rate of assisted births: 76.4% (2003), 79.8% (2004), n/a (2005), 90% (2006), 90%* (2015 target; note *Goals be reached by 2008 under the Health and Nutrition Program) - Rate of contraceptive use: 28.7 (2003), 29 (2004), 96 (2005 entry) - HIV-AIDS prevalence rates among pregnant women aged 15-24: n/a (2003), n/a (2004), 1.5% (2005), 1.5% (2006) - Rate of malaria prevalence: 446464 (early entries), n/a, 57.8/000 (2006), 3/000 (2015 target) - Malaria mortality rate: 1.4 (2003), 1.2 (2004), n/a (2005), 0.16% (2006) - Proportion of malaria deaths as a percentage of all deaths: 16.7% (one entry), 148.8% (another entry), n/a, 3.4 (2006), Reduce to 100% (target statements) - Source: Ministry of Health Statistics Department - Note: "*Goals be reached by 2008 under the Health and Nutrition Program" - Programmatic actions reflected in indicators: training of nurses and health specialists, construction/refurbishment of health units, disease-specific campaigns (malaria, TB, HIV/AIDS), immunization support, and infrastructure works at hospitals and health centers. _Italic: Source: _cr08154 - 2. Post-literacy_ (chapter/section from the provided IMF PDF)._ ### 1. According to the available data, there was no change in the number of inhabitants per ### _cr08154 - 1. According to the available data, there was no change in the number of inhabitants per ### Health indicators and trends - No change in the number of inhabitants per physician or inhabitants per nurse in 2006. - Infant mortality rates (live births): - Under one year old: 47 per mil (declined significantly in 2006). - Under five years old: 53.8 per mil (declined significantly in 2006). - MDG benchmarks: 45 and 73 respectively. - Malaria: - Significant decline in the number suffering from malaria among every 1,000 people visiting health centers in 2006. - Government aim: reduce the number of people with malaria by 90 percent in 2010. - Malaria reductions contributed to declines in: mortality of live births under one year old, mortality of children under five years old, mortality rate from malaria, and the proportion of malaria deaths in total deaths. - Maternal mortality: declined in 2006, attributed to an increase in assisted births and interventions such as vaccinating pregnant women, awareness campaigns, and reproductive health services. - HIV/AIDS prevalence: no change in 2006; prevalence remains higher than the established goal and requires continued government effort to reverse the trend. ### Health sector actions and capacity building - Infrastructure and access: - Construction of health stations; intensive care projects; rehabilitation of the emergency bay; small infrastructural improvements; rehabilitation of six community health stations; construction of residences for specialists at the Porto Alegre company; construction and outfitting of a laboratory for the EFQS. - Human resources and training: - Training of 83 nurses. - School health experts trained; specialists assigned to PNLS, CNES, and PNLCP. - IT network setup to collect data; IT and educational materials produced for the health delegations. - Some studies were revised and a communications strategy for combating HIV/AIDS was prepared. - Supplies, diagnostics and programs: - Support to health districts; medicines, laboratory supplies and reagents provided; health information disseminated; immunization actions taken and new vaccines introduced; diagnostics improved; malaria, HIV/AIDS, and tuberculosis combated. - Public information: - Training and information for the public through awareness campaigns. - Recommended continuations: - Continue building health stations, especially in rural and periurban areas. - Continue training health professionals and assign them to locations with greatest need. ### Water and sanitation indicators (sector information and Table 10) - Sector statement: close to 80 percent of the population has access to pipe-borne water—approximately 60 percent through EMAE connections and the other 20 percent through public water fountains. - Table 10 (preserved exactly as presented): - No. of persons receiving water from the EMAE system 27, 070 10, 298 83, 513 - Rate of water supply coverage through the EMAEI 59.6% - Access to treated water in percent 20% 36.23 - Rate of coverage of pipe-borne water by the EMAE 23.42 - No. of latrines built 1,600250150 1,047 - Access to environmental sanitation in percent 26%- - - Note: NGO interventions in communities (fight against cholera) led to construction and rehabilitation of water fountains and latrines. ### NPRS implementation, monitoring, and assessment mechanism - Legal and institutional basis: - Mechanism established by Decree 32/2005. - Poverty Reduction Observatory (PRO) designated as technical agency responsible for spearheading implementation of the mechanism. - 2006 context and disruptions: - 2006 was disrupted by various political, economic and social events affecting conditions required for implementing the mechanism. - After inauguration of the XI constitutional government, informing new members about the mechanism and restarting the process was necessary. - External support and missions: - Afristat (Economic and Statistical Observatory for Sub-Saharan Africa) was contacted to help install the information system. - Initial mission by consultant Ousmane Soule took place in July (objective: learn philosophy of system, take stock, draw up work plan); mission completed and work plan prepared. - Second mission scheduled for November 2006 postponed till the second half of January 2007 due to communication problems. - Preparatory and capacity activities: - PRO managers participated in training and information events at home and abroad on poverty-related issues. - Preparatory work underway to implement the technical committee and advisory council so they can start operating in 2007. - Constraints faced by the Observatory (preserved language): - Insufficient staff; - training needs in project implementation and monitoring by the sectors; - nonexistence of data; - lack of motivation on the part of the focal points (insufficient salaries and subsidies, lack of equipment); - no sectoral coordination and accountability mechanisms. ### Conclusions and recommendations (as numbered in source) 1. The implementation of the NPRS through the PAP 2006-2008 made some progress if we take into account all the measures and reforms implemented through government incentives. However, the level of execution of planned projects is low both in terms of the PAP and of the PIP, the main reason being the lack of resources despite the efforts made to mobilize funds. With the sectoral round tables (on education, infrastructure, and governance) held in December 2006 and the prospects for debt forgiveness, we anticipate that better results will be obtained in 2007. 2. The functioning of the NPRS implementation, monitoring, and assessment mechanism requires stability, ownership of the mechanism by the various stakeholders, therefore meeting to sensitize the various agencies are needed. It is therefore advisable that any effort by the PRO in the first half of 2007 should be geared towards implementing the mechanism. 3. To ensure that trends in NPRS implementation are monitored (physical and financial developments in projects and programs), using the information produced by the existing structures (DPE, INE, and sectoral ministries) there must be real ownership of the NPRS and absolute consistency between the PIP and the PAP, which could not be established during the period. 4. The weak organization of the sectors and the poor circulation of information within and between sectors makes it hard for the focal points to perform their work and to conduct the monitoring activities that would gather the necessary information at the end of each period to produce a report taking stock of the situation and of the decisions made. 5. Training in monitoring implementation is imperative whether at the sectoral level or at the level of the PRO. *Source: https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2008/_cr08154.pdf* ### Annex 1: Assessment of implementation of the matrix of measures ### _cr08154 - Annex 1: Assessment of implementation of the matrix of measures ### Pillar I – Reform of public institutions, capacity building and promotion of a policy of good governance - Create of the institutional framework for implementing state reform (2006) - Status: No information available - Managing agency: Government - Define the legal framework for conflicts of interest (2006) - Status: Not completed - Managing agency: National Assembly - Adjust the number of legislators (2006) - Status: Not completed - Managing agency: National Assembly - Train legislators and parliamentary officials (2006-2008) - Status: Partially completed - Managing agency: National Assembly - Revitalize the Superior Council on Printing (2006) - Status: No information available - Managing agency: National Assembly, Government - Create the mechanism for implementing the global strategy on state reform (2006-2008) - Status: The office was created within the current organizational structure of the government; the resources for its operation are still pending. - Managing agency: Government, Secretariat of State Political Governance - Regulate and implement the Code of Administrative Procedure (2006-2008) - Status: Prepared and pending approval of the code of administrative procedure - Managing agency: Ministry of Public Administration, State Reform and Territorial Administration - Revise the Law on Political/Administrative Divisions (2006) - Status: Not completed - Managing agency: National Assembly, Government - Revise and approve the Regional and Local Finance Law (2006) - Status: [no status text provided in source] - Managing agency: National Assembly, Government - Create a central institutional framework for technical support to regional and local government bodies (2006) - Status: Within the organizational framework of the government pending approval, an office was established to support local government agencies, which reports to the Ministry of Public Administration, State Reform, and Territorial Administration - Managing agency: Government, Ministry of Local Government - Adopt a legal standard on microfinance (2006) - Status: Not completed - Managing agency: Ministry of Finance and Planning, Central Bank - Create a microfinance monitoring unit in the Central Bank (2006) - Status: Not completed - Managing agency: Central Bank - Strengthen oversight and audit institutions (2006-2008) - Status: Technical training of legislators in analysis and approval of the national budget - Managing agencies: National Assembly, Ministry of Finance and Planning, Minister of Economy, National Audit Office - Approve tax reform (2006-2007) - Status: A package of legislation is pending passage by the Assembly. It comprises: General Tax Code and Code of Tax Procedure; Investment Code; Corporate Income Tax Code; Urban Property Contribution; Property Transfer Tax (SIZA) Code; Inheritance and Gift Tax Code; Law on the Financial Management System - Managing agencies: National Assembly, Ministry of Finance and Planning - Implement the law on public procurement (2006) - Status: [no status text provided in source] - Managing agency: MPF - Approve the new customs code (2006) - Status: Pending approval by the Assembly - Managing agencies: Customs Directorate, MPF - Prepare studies for restructuring public enterprises (EMAE, ENASA and ENAPORT) (2006) - Status: Not available - Managing agencies: MIARN, MPF - Approve and implement the new investment code (2006) - Status: Pending passage by the Assembly - Managing agencies: MPF, ME - Approve and implement tax reform laws (2006-2008) - Status: Pending passage by the Assembly - Managing agencies: MPF, National Assembly - Modernize government financial management (2006-2008) - Status: In progress - Managing agency: MPF - Strengthen oversight and justice services (2006-2008) - Status: No information available - Managing agencies: Ministry of Justice, Courts - Establish a training plan for magistrates and justice system support staff (2006) - Status: No information available - Managing agencies: Courts, Public Prosecutor’s Office - Computerize recording and notarial services (2006-2007) - Status: Not completed - Managing agency: Ministry of Justice - Prepare a feasibility study of specialized courts (2006) - Status: No information available - Managing agencies: Ministry of Justice, Courts - Establish extrajudicial mechanisms of arbitration and conflict resolution (2006) - Status: The arbitration court and a national arbitration center were created - Managing agencies: Ministry of Justice, Courts - Develop the coast guard (2006-2008) - Status: [no status text provided in source] - Managing agency: Ministry of Defense ### Pillar II – Accelerated redistributive growth - Publish the provisional land title register (2007-2008) - Managing agencies: ME, Directorate of Privatization of Land and Notarial Recording Services - Setup a rural land register (2006-2008) - Status: No information available - Managing agencies: Ministry of Economy, MPF - Simplify the procedures for establishing businesses (2006-2008) - Status: 1- On the basis of Decree-Law 9/2006 the arbitration court and national center ... [text garbled]; 2- Steps are being taken to set up a one stop shop. - Managing agencies: ME, Directorate of Trade Development and Modernization - Build the capacity of CIAT (2006-2008) - Status: Computer hardware has been purchased. - Managing agency: Ministry of Economy - Implement a strategy for tourism development (2006-2008) - Managing agencies: Ministry of Economy, Directorate of Tourism and Hotel Industry - Hotel school construction (2007-2008) - Status: The building has been identified and the refurbishing project is to be implemented with support from Spain - Managing agencies: Ministries of Economy and Education - Industrial Research plan on the branches of industry (2007-2008) - Status: Not completed - Managing agency: Ministry of Economy - Advertise for partners to finance the construction of a deep water harbor (Trans-shipment Center) (2006) - Status: An office was created to that effect under the auspices of the Ministry of Infrastructure - Managing agency: MIARN - Regulate the operations of the Telecommunications Regulatory Agency (2006) - Status: The agency was created, its operations are under way, and its staff are receiving technical training - Managing agency: MIARN - Marketing to find partners for expansion/development of the international airport (Air transport) (2006) - Status: A marketing office was created under the Ministry of Infrastructure - Managing agency: MIARN - Update the master plan for energy (2006-2007) - Status: Nothing has been done - Managing agency: MIARN - Update the master plan for water and sanitation (2006-2007) - Status: Preliminary work under way - Managing agency: MIARN - Organize a computerized system / prepare integrated plan for conventions (2007-2008) - Status: Preliminary activities started for the preparation of an overall integrated plan for the implementation of the four main conventions (NCSA): Climate Change, Persistent Organic Pollutants (POPs), Desertification, and Biodiversity. - Managing agency: MAIRN Environmental Office - Create a multisectoral monitoring and assessment team - Status: Multisectoral teams were created for each convention. - Managing agency: MAIRN Environmental Office - Ratify conventions and the respective protocols (2007-2008) - Status: Some have been ratified and others are in the process of ratification. - Managing agency: MAIRN Environmental Office - Train technicians - Status: Technicians are being trained as the conventions are implemented. - Managing agency: MAIRN Environmental Office - Draft legislation to prohibit imports of hazardous toxic products (2007-2008) - Status: In progress. The first draft has been prepared and is to be revised to include the POPs before being submitted for approval. - Managing agency: MAIRN Environmental Office - Prohibit the capture of endemic species (turtles, parrots, parakeets, etc.) (2006-2008) - Status: The unit on implementation of the convention was reactivated. The first report has been prepared and financing is pending for implementing measures at ports and airports (export of animals). - Managing agencies: MAIRN, ME, Environmental Office - Geographic, environmental and cartographic surveys and descriptions (2006-2007-2008) - Managing agency: MAIRN (d.s.g.c.) - Institutional development of the land use planning sector: draft the definitive land use program at the national and sectoral levels - Status: [no status text provided in source] ### Pillar III – Creation of opportunities for generating greater and more diverse income for the poor - Improvement of land ownership guarantees: Publish a register of titles to ownership of agricultural lands (2006-2007) - Status: Not completed - Managing agencies: ME, Notarial Records - Increase in agricultural and fisheries output: Prepare a strategy for the fishing industry (2006) - Status: The preliminary draft of the master plan on fisheries is being prepared. - Managing agencies: ME, Directorate of Fisheries - Promote research and rural extension (2006-2008) - Status: Institutionalization of rural extension under way. Preparation of a national plan on rural extension under way. - Managing agencies: ME, Directorate of Agriculture ### Pillar IV – Human resource development and increased access to basic social services - Education - Reformulate the charter of the Ministry of Education and Culture (MEC) (during 2006) - Status: Not completed - Managing agency: Office of the Minister / GPIE - Regulate the structure of the national education system (2nd half of 2006) - Status: Not completed - Managing agencies: Office of the Minister / GPIE/DEB/DAE/DAF - Define and regulate the school system (2006) - Status: Not completed - Managing agency: Office of the Minister / DAE - Engage in health sector prevention and surveillance in schools (2006-2008) - Status: A school health program was created, with components: - 1-A program to eliminate parasites from children is being implemented in all schools and districts in the country (except for the Autonomous Region of Príncipe) with the support of the Vale-Flor Institute. - 2- A program for prevention and treatment of blindness is being conducted in the country’s primary schools. It is co-financed by UNICEF and Taiwan. - 3- A program to distribute Vitamin A is carried out every six months in coordination with the immunization program. - Managing agencies: DAE/DEB - Support the promotion of the arts and entertainment (2006-2008) - Status: In progress - Managing agency: MECD - Provide incentives for studies and research on culture (2006-2008) - Managing agency: MECD - Health - Update the health map (Q1 2006) - Status: Not completed - Managing agency: Ministry of Health - Draft the Basic Law on Health (By end-2008) - Status: Scheduled for 2007 - Managing agency: Ministry of Health - Prepare and approve model architectural layouts for each type of infrastructure (2006) - Status: Within the framework of the PASS Project, a consultant was hired to prepare the study. - Managing agency: Ministry of Health - Identify locations for building new infrastructure (Q1 2006) - Status: Locations for constructing small health stations were identified (Madre DEUS, San Finicia, Almes, Mesquita, Agua Arroz). - Managing agency: Ministry of Health - Prepare the model list of equipment and instruments for each health unit (Q1 T2006) - Status: This activity is planned in the update of the health map. - Managing agency: Ministry of Health - Define the policy and draft the plan for human resource development (2006) - Status: The human resources development plan is expected to be drafted in 2007. It will contain planned training and incentives. - Managing agency: Ministry of Health - Transform the Heath Workers Training School (FQS) into a Health Sciences Institute (2006) - Status: Completed, pending only the publication of the decree and mobilizing the resources for its implementation. - Managing agency: Ministry of Health - Approve and implement the HAM master plan (2006) - Status: For the time being this measure remains pending. - Managing agency: Ministry of Health - Draft the HAM charter and its regulations (2006) - Status: Not completed - Managing agency: Ministry of Health - Define the functional content of each health unit and the tasks for each level of responsibility (2006) - Status: With the support of the PASS project, the ToRs for the entire national health system are being defined. - Managing agency: Ministry of Health - Decentralize the programs for the health districts (2007) - Managing agency: Ministry of Health - Gradually staff the peripheral health units with trained personnel as per the health map (By end-2008) - Status: In progress - Managing agency: Ministry of Health - Structure and organize the cost recovery system in the national health services (2006) - Status: Studies will begin in 2007 - Managing agency: Ministry of Health - Prepare and implement a reference and counter-reference system (By end-2008) - Managing agency: Ministry of Health - Create and implement the management information and health information system (By end-2008) - Status: In progress. The equipment has been acquired and the system has been set up. All that remains is to install the database and field stations for its operation. - Managing agency: Ministry of Health - Prepare a national nutrition plan (2006) - Status: Not completed - Managing agency: Ministry of Health - Reactivate the nutritional surveillance system (2007) - Managing agency: Ministry of Health - Institutionalize a state advisory body for food security (2007) - Managing agency: Ministry of Health - Implement the breast feeding code (2006) - Status: The national commission was created by order of the Minister of Health. UNICEF financed the equipment. The commission now has to be invigorated. - Managing agency: Ministry of Health - Reactivate the National Commission on Salt Iodization (2006) - Managing agency: Ministry of Health - Integrate anti-malaria, HIV/AIDS and tuberculosis programs into primary health care (By end-2008) - Status: In progress - Managing agency: Ministry of Health - Publish and disseminate the national protocol for malaria case management (2006) - Status: Completed - Managing agency: Ministry of Health - Implement the PMTF expansion plan (2006) - Status: Not completed - Managing agency: Ministry of Health - Assess the National Anti-tuberculosis Plan (PNLCT) in the implementation of DOTS (2006) - Managing agency: Ministry of Health - Draft and publish the legal standard for the creation of a national network of laboratories and epidemiological surveillance (2006) - Status: The network was created with the support of the WHO but still lacks the legal underpinnings. - Managing agency: Ministry of Health - Draft a strategic plan for dental/oral health (2006) - Status: Not completed - Managing agency: Ministry of Health - Validate and publish the international convention on tobacco use (2006) - Status: Not completed - Managing agency: Ministry of Health - Expand and implement the IMCI strategy (By end-2008) - Status: Involved a package of procedures for IMCI, which has contributed to the reduction in infant mortality - Managing agency: Ministry of Health - Prepare a program for detection of breast, uterine and prostate cancer (2006) - Status: Located in the Reproductive Health Directorate, the physical space has been built, two technicians have been trained and ecography and mammography equipment purchased. - Managing agency: Ministry of Health - Prepare and implement a policy and national strategy of health education (2006) - Status: With PASS funding, the Health Education Policy and Strategy were prepared in 2006. The validation process is planned for 2007. - Managing agency: Ministry of Health - Institutionalize the CNES as the agency responsible for health education under the Ministry of Health (2006) - Status: The CNES was institutionalized more than 10 years ago and needed to start up. This happened in 2006 after being reinvigorated with PASS project support. - Managing agency: Ministry of Health - Note: The PASS supports institutional reform of the basic education system in area of education and institutional reform of basic health in the area of health. ### Pillar V – NPRS monitoring and assessment mechanism - Approve the regulations on the operation of the Observatory (2006) - Status: Not completed - Managing agencies: MPF, Observatory - Establish the network of focal points (2006) - Status: COMPLETED - Managing agencies: MPF, Observatory - Poverty Reduction Observatory contact details (as provided) - E-mail: orp@cstome.net - Orp_onp@yahoo.com.br - Tel. 225707 ### Poverty reduction spending – Public Investment Program (Annexes 2: Actuals for 2006) - 2006 Exchange Rate: 1 USD= 12.500 STD - Selected project-level planned vs executed amounts (IN USD) - Construction of low-cost housing – Phase 2 - PLANNED (IN USD): 280,000.0 - EXCUTED (IN USD): 249,465.44 - Resurfacing and maintenance of secondary and main roads - PLANNED (IN USD): 3,840,000.0 - EXCUTED (IN USD): 1,133,247.00 - Resurfacing of the Almas/Riba -Mato/S.Maria/Bom-Bom road - PLANNED (IN USD): 674,878.0 - EXCUTED (IN USD): 637,558.56 - Resurfacing of the Folha Fe de - S. Finícian road - PLANNED (IN USD): 80,000.0 - EXCUTED (IN USD): 80,000.00 - Repair of the Trinidade market sewerage system - PLANNED (IN USD): 0.0 - EXCUTED (IN USD): 4,241.52 - Cleanup of the Mata-Mina riverbed - PLANNED (IN USD): 0.0 - EXCUTED (IN USD): 49,106.00 - Refurbishing of the Amorera aqueduct - PLANNED (IN USD): 1,000,000.0 - EXCUTED (IN USD): 59,050.00 - MINISTRY OF PUBLIC WORKS AND INSTRASTRUCTURE totals (subset) - PLANNED (IN USD): 5,874,878.0 - EXCUTED (IN USD): 2,212,668.52 - MINISTRY OF NATURAL RESOURCES AND ENVIRONMENT (subset) - PLANNED (IN USD): 1,373,168.2 - EXCUTED (IN USD): 366,543.04 - MINISTRY OF PLANNING AND FINANCE (selected items) - PLANNED (IN USD): 545,480.0 - EXCUTED (IN USD): 420,258.00 - MINISTRY OF HEALTH totals (selected items) - PLANNED (IN USD): 2,865,600.0 - EXCUTED (IN USD): 3,494,265.36 - MINISTRY OF EDUCATION, CULTURE, YOUTH AND SPORTS totals (selected items) - PLANNED (IN USD): 2,950,458.4 - EXCUTED (IN USD): 2,553,985.80 - MINISTRY OF ECONOMY (TRADE, INDUSTRY, TOURISM, AGRICULTURE AND FISHERIES) totals (selected items) - PLANNED (IN USD): 2,473,233.6 - EXCUTED (IN USD): 1,805,918.64 - MINISTRY OF LABOR, SOCIAL SECURITY, SOLIDARITY, WOMEN AND FAMILY totals (selected items) - PLANNED (IN USD): 3,895,000.0 - EXCUTED (IN USD): 2,685,852.00 - LOCAL AUTHORITIES totals (selected items) - PLANNED (IN USD): 207,840.0 - EXCUTED (IN USD): 59,773.36 - Regional Government: CONSTRUCTION OF THE RIBEIRA IZÉ ROAD (PHASE 2) - PLANNED (IN USD): 43,987.84 - EXCUTED (IN USD): 0.00 - Aggregate planned and executed totals (as provided) - PLANNED (IN USD): 20,185,658.2 - EXCUTED (IN USD): 13,643,252.6 - Alternate exchange rate line (as provided) - Exchange Rate 2006 1 USD= 12 445 STD - Total national budget expenses in USD (as provided) - USD: 60,000,000.00 - Percent figures (as provided): 5.93% ; 5.02% ; 0.15% ### Annex 3: Pro-poor current expenses – 2006 (selected current expense lines and USD conversion summary) - Code / Description (selected current expenses, amounts in local currency as provided) - 01.00.00 Personnel expenses: 38,042,333,640 (Education and Culture); 25,297,662,134 (of Health; of Labor and Solidarity) - 02.01.05 Other durable goods: 2,029,000 ; 9,922,000 - 02.02.02 Fuel and lubricants: 172,523,155 ; 577,340,415 - 02.02.04 Food: 0 ; 5,525,176,375 - 02.02.05 Medicine: 7,685,000 ; 382,691,661 - 02.03.01.01 Water and energy: 0 ; 154,200,000 - 02.03.02 Custody of goods: 83,013,000 ; 172,213,650 - 02.03.06 Communications: 14,000,000 ; 92,500 - 04.02.01 Private institutions: 0 ; 21,525,000 ; 131,265,323 - 04.03.01 Individuals: 0 ; 4,891,896,898 ; 1,013,453,900 - 06.01.00 Education and training: 671,485,520 - 06.04.04.02 Miscellaneous: 5,249,408,237 ; 102,835,000 - Totals shown: 44,242,477,552 ; 37,472,669,543 - Additional USD conversion rows: 1,144,719,223 ; 3,555,040.38 ; 3,011,062.24 ; 91,982.26 *Annex 1: Assessment of implementation of the matrix of measures (December 2006) — provided content from the source PDF.* --- _Source: https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2008/_cr08154.pdf_