Press Release No. <a name="P16_75"></a>03/219

An IMF mission left Santo Domingo today after reaching technical-level understandings on economic policies for the first review of the country's Stand-by Arrangement with the Fund.

Marcelo Figuerola, the IMF mission chief, said in Santo Domingo:

"The mission has reached broad agreement with the Dominican authorities on the main elements of the Letter of Intent for the upcoming review under the two-year Stand-By Arrangement with the Fund. In the coming weeks, the authorities plan to move ahead with a number of macroeconomic policy and structural measures of critical importance to the success of the program. These include the adoption of a strong budget for 2004, a plan to improve the financial position of the electricity sector, improved monetary control, and steps to ensure the efficient and transparent functioning of the foreign exchange market. Once these key measures are implemented, and financing assurances from official creditors are secured, it is expected that the Letter of Intent can be finalized and circulated to the IMF's Executive Board for early consideration."