Republic of Kosovo: Request for Purchase Under the Rapid Financing Instrument-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Kosovo
IMF Staff Country Reports, April 16, 2020
Source details
- Canonical URL
- Republic of Kosovo: Request for Purchase Under the Rapid Financing Instrument-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Kosovo
Other formats
Bibliographic details
- Published: April 16, 2020
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513540993.002
Background and purpose
- Discusses Republic of Kosovo’s Request for Purchase Under the Rapid Financing Instrument (RFI).
- Context: the coronavirus disease 2019 (COVID-19) pandemic and associated containment measures have severely weakened Kosovo’s economic outlook.
Economic outlook and projections
- The economy is expected to contract by 5 percent in 2020.
- Drivers of the contraction cited:
- Decreases in tourism receipts.
- Decreases in remittances.
- Decreases in exports of goods.
- Decreases in foreign direct investments.
- Causes of those decreases:
- Travel restrictions.
- The effect of COVID-19 in trading partners and remittance-originating countries.
- Consequence: the deteriorated economic outlook is expected to result in external and fiscal financing gaps.
Financing needs and rationale for the RFI
- The RFI provides rapid and low-access financial assistance to member countries facing an urgent balance of payments need.
- The RFI can be used without the need for a full-fledged economic program or reviews.
- The RFI can provide support to meet a broad range of urgent needs, including those arising from:
- Commodity price shocks.
- Natural disasters.
- Conflict and post-conflict situations.
- Financial assistance under the RFI is provided in the form of outright purchases.
Content in this bundle
- EXECUTIVE SUMMARY — Republic of Kosovo