Cabo Verde: First Review Under the Policy Coordination Instrument and Request for Modification of Targets
IMF Staff Country Reports, April 23, 2020
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- Cabo Verde: First Review Under the Policy Coordination Instrument and Request for Modification of Targets
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Bibliographic details
- Published: April 23, 2020
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513542225.002
Program performance and implementation
- Performance under the PCI-supported program has been strong.
- All reform targets were met, with some measures put in place ahead of schedule.
- All end-September 2019 quantitative targets were met, except for the floor on tax revenue, missed by a narrow margin due to lower-than-projected taxes on international trade.
COVID-19 impact, near-term risks, and outlook
- Economic prospects for 2020 are clouded by the expected impact of coronavirus disease 2019 (COVID-19).
- Channels of adverse impact: global economic downturn and travel restrictions which adversely affect tourism flows, foreign direct investment and remittances.
- The medium-term outlook remains positive although risks are tilted to the downside.
- Growth is expected to rebound in 2021 and return to the pre-COVID-19 medium-term trajectory of about 5 percent as the global economy recovers, and the authorities maintain their structural reform efforts to improve the business environment and build the economy’s resilience to adverse shocks.
Policy recommendations and external support
- Coordinated support from Cabo Verde’s development partners will be needed to support the authorities’ efforts in addressing the economic and social impact of COVID-19.
- Continued structural reform efforts to improve the business environment and build resilience to adverse shocks are emphasized.
Key statistics and document identifiers
- Pages: 63
- Volume: 2020
- Issue: 135
- Series: Country Report No. 2020/135
- DOI: https://doi.org/10.5089/9781513542225.002
International Monetary Fund. African Dept. "Cabo Verde: First Review Under the Policy Coordination Instrument and Request for Modification of Targets", IMF Staff Country Reports 2020, 135 (2020).
Content in this bundle
- 1cpvea2020001