## Transcript of IMF Press Briefing _IMF News, December 13, 2018_ ## Source details **Canonical URL:** [Transcript of IMF Press Briefing](https://www.imf.org/en/news/articles/2018/12/14/tr121318-transcript-of-imf-press-briefing) ## Other formats - [Markdown version](/en/news/articles/2018/12/14/tr121318-transcript-of-imf-press-briefing/index.md) - [Structured JSON version](/en/news/articles/2018/12/14/tr121318-transcript-of-imf-press-briefing/index.json) - [Bundle manifest](/en/news/articles/2018/12/14/tr121318-transcript-of-imf-press-briefing/bundle-manifest.json) ## Bibliographic details - Published: December 13, 2018 --- ### Announcements - Managing Director Christine Lagarde to visit Ghana, South Africa, Angola, and the Seychelles in the coming weeks; in Ghana she will open a regional conference on employment and the future of work in Sub-Saharan Africa and deliver a keynote public speech on Ghana's economic prospects. - IMF to update and make available the Global Debt Database later today; the dataset covers public and private debt for about 190 countries and was launched earlier this year. ### IMF Resources and Quota Review - Current IMF estimated total lending capacity: about a trillion dollars. - Composition of IMF funding includes quota (permanent resources), the New Arrangements to Borrow, and bilateral borrowings. - IMF is actively engaged in discussions to complete the 15th Review of Quotas by the time of the Annual Meetings 2019, at the latest. - IMF statement on resource needs: IMF currently has the financial means to fulfill its role, but membership is discussing future resource requirements and modalities; modality decisions are for the membership to determine. ### Country updates and actions - Venezuela - Executive Board previously issued a Declaration of Censure for failure to provide accurate and timely data. - IMF received data from Venezuelan authorities; IMF staff is reviewing the data and will submit a report to the Board in the coming weeks for assessment of compliance. - Whether the Declaration of Censure is lifted will be a Board decision based on the assessment. - Ecuador - Reported $900 million loan from China was mentioned by the Ecuadorian President; IMF has no specific details and did not comment on that loan. - IMF notes debt sustainability is a priority issue assessed in surveillance and program contexts. - Ukraine - Staff-level agreement reached on a new Stand-By Arrangement (SBA) equivalent to about $3.9 billion. - IMF Board scheduled to consider the SBA on December 18; the amount and schedule of the first disbursement will be decided by the Board at that meeting. - Argentina - IMF staff and Argentine authorities reached a staff-level agreement on the second review of Argentina's economic program on November 26. - Completion of the second review is scheduled for Board consideration on December 19. - IMF view: authorities’ revised and strengthened economic plan is yielding positive results; key now is implementation to restore confidence and enable return of growth. - Pakistan - IMF staff mission was in Islamabad until about November 20 following Pakistan's request for IMF financial support; discussions remain active on policy priorities and reforms. - Debt transparency is essential and a detailed Debt Sustainability Analysis will be conducted as part of program discussions; program details will be disclosed when program agreement is reached. - Board approval is required for any IMF program; the Board includes member representation such as the United States. - Turkey - No program request from Turkish authorities and no program discussions underway. - IMF baseline projection: growth to slow to 0.4 percent in 2019 with considerable downside risks before slowly converging to potential growth by 2020. - Greece - IMF reiterated general concerns about corruption's corrosive effects on economies; no comment on individual cases. - United Kingdom / Brexit - IMF published a staff report on the UK in mid-November with updated scenarios. - IMF view: all likely Brexit outcomes will entail costs to the UK economy; higher impediments mean higher costs. - The hard Brexit / no-deal scenario (leaving without a withdrawal agreement and framework for the future relationship) is described as the most significant near-term risk to the UK economy. - Haiti - IMF staff team on a fact-finding mission in Port-au-Prince; discussing recent economic developments, social protection strategy, and public investment strategy. Mission is not a program discussion at this stage. - Yemen - IMF concerned about the humanitarian situation and economic costs of the conflict. - IMF providing technical assistance to the Central Bank of Yemen to identify capacity gaps and supporting measures to facilitate imports of basic staples and civil service wage payments; IMF urges remedial international action. - Egypt - A technical issue affected the Board calendar entry for Egypt's fourth review (previously scheduled for December 19); IMF is finalizing details with Egyptian authorities and will announce the revised date in due course. - Zimbabwe - IMF staff is discussing a staff-monitored program with Zimbabwe to assist with fiscal consolidation and reforms; authorities have requested a staff-monitored program. - A full IMF financial program would require clearance of arrears to other international financial institutions and agreement with official bilateral creditors. - France - Recent tax and wage measures announced to address social tensions are expected to support purchasing power of workers and pensioners but will increase the 2019 deficit. - IMF recommendation: compensatory measures should be considered to safeguard public finance sustainability; finding a renewed social consensus to continue reforms is important. ### Debt and debt transparency - Debt sustainability is a central priority in IMF surveillance and program work. - IMF emphasizes the importance of debt transparency to conduct proper Debt Sustainability Analyses during program design and assessment. - Global Debt Database update announced to support debt analysis for about 190 countries. ### Policy positions and recommendations - Quota/resource discussions: IMF will work with members to ensure it remains "sufficiently and efficiently resourced" into the future; modalities to be decided by members. - Program implementation: IMF stresses that program implementation is key to restoring market confidence and enabling growth (Argentina cited as example). - Debt transparency: essential for credible program design and assessment (Pakistan, Ecuador, general practice). - Yemen and humanitarian crises: IMF provides technical assistance, supports measures to facilitate imports and wage payments, and calls for international action to alleviate humanitarian crises. - France: support measures for purchasing power should be offset by compensatory fiscal measures to maintain sustainability. - Brexit: agreement minimizing uncertainty and trade barriers best supports growth; de-escalation of trade tensions (U.S.–China) encouraged. ### Key dates and numeric figures - Global Debt Database covers about 190 countries. - IMF estimated total lending capacity: about a trillion dollars. - 15th Review of Quotas target completion: by the Annual Meetings 2019, at the latest. - Ukraine Stand-By Arrangement equivalent to about $3.9 billion; Board scheduled December 18. - Argentina second review completion scheduled for December 19. - Pakistan IMF mission in Islamabad concluded around November 20. - IMF staff–Argentina staff-level agreement date: November 26. - Turkey growth projection: 0.4 percent in 2019, converging to potential by 2020. - Report referenced: UK staff report published mid-November. - Ecuador: President announced a $900 million loan from China; Government said the loan came with an interest rate "three-and-a-half points below the average market, which is around 10 percent." IMF had no specific details on that loan. *Transcript of IMF Press Briefing, December 13, 2018 — IMF Communications Department* --- ## References - [PRESS CENTER](http://presscenter.imf.org/) - [https://www.imf.org/en/home](https://www.imf.org/en/home) _Source: https://www.imf.org/en/news/articles/2018/12/14/tr121318-transcript-of-imf-press-briefing_