Dominica: 2023 Article IV Consultation-Press Release; and Staff Report for Dominica
IMF Staff Country Reports, July 5, 2023
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- Dominica: 2023 Article IV Consultation-Press Release; and Staff Report for Dominica
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Bibliographic details
- Published: July 5, 2023
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400247699.002
Executive summary and outlook
- The Dominican economy is recovering strongly following the pandemic.
- The economic outlook is positive, predicated on a continued expansion in tourism and implementation of the country’s economic modernization and resilience building agenda.
- The transition to local geothermal energy production and construction of a new airport, planned for the coming years, will sustain economic activity, reduce dependency on fossil fuels, bolster resilience to external shocks, and improve international connectivity.
- Public debt is set to decline gradually in coming years, supported by efforts to reduce current spending and strengthen tax collection.
- Building policy buffers and critical infrastructure will help address downside risks stemming from global economic uncertainty, climate change, and volatility of CBI revenue.
Fiscal position and revenue
- Fiscal space remains tight.
- High Citizenship-by-Investment (CBI) revenue, nearing a record 30 percent of gross domestic product in recent years, has supported public investment and crisis response measures.
Risks and resilience
- Downside risks include global economic uncertainty, climate change, and volatility of CBI revenue.
- Policy and investment priorities to bolster resilience include transitioning to local geothermal energy production and constructing a new airport.
Policy priorities and recommended actions
- Reduce current spending.
- Strengthen tax collection.
- Build policy buffers.
- Invest in critical infrastructure to sustain activity and improve connectivity.
Publication metadata and identifiers
- Pages: 77
- Volume: 2023
- Issue: 246
- Series: Country Report No. 2023/246
- DOI: https://doi.org/10.5089/9798400247699.002
- Stock No: 1DMAEA2023001
- ISBN: 9798400247699
- ISSN: 1934-7685
- Subject keywords: Credit, External debt, Fiscal policy, Fiscal stance, International organization, Monetary policy, Money, Public debt, Revenue administration
- Keywords: Caribbean, CBI program, CBI revenue, Credit, debt ratio, Fiscal stance, fuel price policy, Global, investment goods
IMF Staff Country Reports — Dominica: 2023 Article IV Consultation-Press Release; and Staff Report for Dominica (July 5, 2023).
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