Suriname: Third Review Under the Extended Arrangement Under the Extended Fund Facility-Press Release; Staff Report; and Statement by the Executive Director for Suriname

IMF Staff Country Reports, October 16, 2023

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Canonical URL: Suriname: Third Review Under the Extended Arrangement Under the Extended Fund Facility-Press Release; Staff Report; and Statement by the Executive Director for Suriname

The paper presents Suriname’s Third Review Under the Extended Arrangement Under the Extended Fund Facility.
The authorities’ commitment to macroeconomic stability and fiscal discipline under the program is starting to bear fruit.
The economy is stabilizing as exchange rate pressures have eased.
Inflation, while still high, is on a downward trend.
Monetary and fiscal restraints are easing pressures on the exchange rate, but inflation has yet to move decisively lower.

The authorities’ main near-term policy priority is to maintain fiscal prudence while protecting the most vulnerable and supporting growth-enhancing investment.
Decisive fiscal adjustment is putting debt on a firm downward trajectory even as expenditures to protect the vulnerable are being prioritized.
Efforts are underway to broaden the tax base and increase spending efficiency.

The authorities have enacted an amendment to increase value added tax revenues.
The authorities have finalized a framework to assess banks’ recapitalization and restructuring plans.
Actions are being taken to improve governance and address longstanding vulnerabilities in the financial system.

Subject: Arrears, Asset and liability management, Debt restructuring, External debt, Foreign exchange, Inflation, International organization, Monetary policy, Prices, Public debt
Keywords: Arrears, Caribbean, Debt restructuring, end-December QPC, Global, governance reform, Inflation, near-term policy priority, staff appraisal, Surinamese authorities