Zimbabwe: 2011 Article IV Consultation-Staff Report; Staff Supplement; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Zimbabwe
IMF Staff Country Reports, June 14, 2011
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- Zimbabwe: 2011 Article IV Consultation-Staff Report; Staff Supplement; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Zimbabwe
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Bibliographic details
- Published: June 14, 2011
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781455271481.002
Key findings and summary
- Stronger policies, a favorable external environment, and notable improvement in the humanitarian situation supported a nascent economic recovery in Zimbabwe.
- Executive Directors welcomed the nascent recovery and urged authorities to take advantage of the favorable external environment to strengthen their macroeconomic framework.
- Directors stressed the need to strengthen the fiscal position and expressed concern about rising vulnerabilities in the banking system.
- Directors welcomed the authorities' strategy for arrears clearance.
- Directors agreed that the Staff Monitored Program (SMP) would help establish a track record of sound policies.
- Directors encouraged the authorities to continue timely data reporting.
Macroeconomic environment and recovery
- Recovery was supported by:
- Stronger policies.
- A favorable external environment.
- Notable improvement in the humanitarian situation.
- The overall assessment emphasized the opportunity to consolidate macroeconomic stability by leveraging external conditions.
Fiscal position and banking sector vulnerabilities
- Authorities were urged to strengthen the fiscal position.
- Directors expressed concern about rising vulnerabilities in the banking system, highlighting financial sector risks as a priority for policy action.
Arrears clearance and program arrangement
- Directors welcomed the authorities' strategy for arrears clearance.
- The Staff Monitored Program (SMP) was endorsed as a mechanism to help establish a track record of sound policies.
Data reporting and transparency
- Directors encouraged the authorities to continue timely data reporting to support policy monitoring and program credibility.