IMF Executive Board Completes Fourth Reviews under an Extended Credit Facility and Extended Fund Facility for Côte d’Ivoire and Approves US$133.7 Million Disbursement
IMF News, December 13, 2018
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- Published: December 13, 2018
Program completion and financing
- On December 12, 2018, the IMF Executive Board completed the fourth reviews under the Extended Credit Facility (ECF) and Extended Arrangement under the Extended Fund Facility (EFF) for the Republic of Côte d’Ivoire.
- Completion of the reviews enables the immediate disbursement of SDR 96.786 million (about US$133.7 million).
- The three-year ECF/EFF arrangements have a total access of SDR 650.4 million (about US$898.4 million or 100 percent of Côte d’Ivoire’s quota) and were approved on December 12, 2016.
Macroeconomic outlook and program objectives
- The country’s economic outlook remains robust, with growth projected at about 7½ percent in 2018–19.
- Program aims:
- Achieve a sustainable balance of payments position.
- Enhance domestic revenue mobilization.
- Ensure debt sustainability.
- Foster inclusive growth and poverty reduction.
Fiscal policy and debt management
- The budget deficit target for 2018 is within reach; authorities reiterated commitment to meet the WAEMU regional deficit norm of 3 percent of GDP in 2019.
- Required actions to meet fiscal goals:
- Additional revenue-enhancing measures.
- Spending restraint while protecting pro-poor outlays.
- Debt management strategy:
- Authorities’ new debt management strategy envisages an even mix of domestic and foreign currency sources.
- A prudent borrowing policy is required to keep debt on a sustainable path, with careful assessment of cost and benefits of new loans.
- Strengthening public financial and debt management is critical to maintaining debt sustainability.
Structural reforms and institutional strengthening
- Authorities intend to continue reforms to:
- Enhance revenue administration and public financial management.
- Improve the business climate.
- Promote inclusive growth.
- Consolidate banking sector stability.
- Enhance Côte d’Ivoire’s statistical system to better inform policy decisions.
- Performance under the IMF-supported program has been satisfactory, especially on meeting agreed quantitative performance criteria; progress has been made on structural benchmarks, though more remains to be accomplished.
Selected economic indicators: 2015–20 (annual percentage changes, unless otherwise indicated)
- National income
- GDP at constant prices: 2015: 8.8; 2016: 8.0; 2017: 7.7; 2018: 7.4; 2019: 7.5; 2020: 7.2
- GDP deflator: 2015: 3.1; 2016: -1.1; 2017: -1.7; 2018: 0.4; 2019: 1.1; 2020: 1.8
- Consumer price index (annual average): 2015: 1.2; 2016: 0.7; 2017: 0.8; 2018: 1.7; 2019: 2.0
- External sector
- Exports of goods, f.o.b., at current prices: 2015: 8.2; 2016: -7.0; 2017: 16.7; 2018: 8.6; 2019: 7.6
- Imports of goods, f.o.b., at current prices: 2015: 12.6; 2016: -8.5; 2017: 18.2; 2018: 21.6; 2019: 8.7; 2020: 8.3
- Central government operations (percent of GDP unless otherwise indicated)
- Total revenue and grants (annual change): 2015: 18.9; 2016: 6.6; 2017: 9.3; 2018: 10.0; 2019: Total expenditure: 5.9; 2020: 5.0; 9.5
- Money and credit (annual percentage changes)
- Money and quasi-money (M2): 2015: 17.3; 2016: 10.1; 2017: 11.0; 2018: 11.9; 2019: 13.0
- Credit to the economy: 2015: 28.5; 2016: 13.3; 2017: 15.2; 2018: 13.4; 2019: 14.1; 2020: 12.1
- Percent of GDP (selected)
- Total revenue: 2015: 20.0; 2016: 20.4; 2017: 20.5; 2018: 20.7
- Total revenue (alternate series in table): 2015: 18.5; 2016: 18.6; 2017: 19.2; 2018: 19.4; 2019: 19.6; 2020: 22.8; 24.0; 24.9; 24.4; 23.6; 23.7
- Overall balance, incl. grants, payment order basis: 2015: -2.8; 2016: -4.0; 2017: -4.5; 2018: -3.0
- Gross investment: 2015: 20.1; 2016: 17.7; 2017: 19.5; 2018: 22.4; 2019: 23.5
- Central government (share of investment): 2015: 6.7; 2016: 7.3
- Nongovernment sector (share of investment): 2015: 10.3; 2016: 12.0; 2017: 14.2; 2018: 15.1; 2019: 16.2
- Gross domestic saving: 2015: 20.3; 2016: 21.7; 2017: 2.9; 2018: 2.2; 2019: 2.6; 2020: 3.6; 4.1
- External sector balance — Current account balance: 2015: 18.4; 2016: 18.8; 2017: -0.6; 2018: -1.2; 2019: -3.5; 2020: -3.9; 2019: -3.7
- Overall balance: 2015: 1.0; 2016: 0.0; 2017: 0.6
- Public sector debt
- Central government debt, gross: 2015: 47.3; 2016: 48.4; 2017: 49.8; 2018: 52.6; 2019: 51.0; 2020: 49.7
- Central government debt (excluding C2D): 2015: 40.7; 2016: 43.1; 2017: 45.3; 2018: 49.1; 2019: 47.9
- External debt: 2015: 29.5; 2016: 29.0; 2017: 30.5; 2018: 36.7; 2019: 36.8; 2020: 34.1
- External debt (excluding C2D): 2015: 22.2; 2016: 23.4; 2017: 25.4; 2018: 32.7; 2019: 33.8; 2020: 31.9
- Memorandum items
- Nominal GDP (CFAF billions): 2015: 19,595; 2016: 20,931; 2017: 22,151; 2018: 23,892; 2019: 25,957; 2020: 28,307
- Poverty rate (in percent): 2015: 46.3
IMF Communications Department; Press Release No. 18/474
