Republic of Congo: 2021 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Congo
IMF Staff Country Reports, October 5, 2021
Source details
- Canonical URL
- Republic of Congo: 2021 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Congo
Other formats
Bibliographic details
- Published: October 5, 2021
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513595511.002
Overview and macroeconomic impact
- The COVID-19 pandemic and oil price shocks have taken a deep toll on the Congolese economy, weighing on incomes and inequality.
- Debt sustainability challenges precluded Fund financial assistance during the pandemic.
- The Extended Credit Facility (ECF) arrangement, approved in 2019, expired in April 2021 without having completed the first review.
Debt outlook and current classification
- Recently, debt sustainability has been restored owing to the authorities’ debt restructuring strategy and current and projected higher oil prices.
- The risk of debt distress remains high given liquidity risks and vulnerabilities to negative oil price shocks.
- The authorities are actively negotiating the resolution of pending external arrears.
- Until this process is concluded and the negotiations with two external creditors are finalized, debt is classified as being “in distress.”
Subjects and keywords
- Subjects: Arrears; External debt; International organization; Monetary policy; Oil prices; Oil, gas and mining taxes; Prices; Public debt; Taxes
- Keywords: adjustment effort; Arrears; Central Africa; Congolese authorities; debt restructuring effort; gas and mining taxes; Global; Oil; oil price shock; Oil prices; oil revenue; reform agenda
Source: Republic of Congo: 2021 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Congo (October 5, 2021).
Content in this bundle
- 1cogea2021001