{
  "title": "Federated States of Micronesia: 2019 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Federated States of Micronesia",
  "publication": "IMF Staff Country Reports, September 6, 2019",
  "sourceUrl": "https://www.imf.org/en/publications/cr/issues/2019/09/06/federated-states-of-micronesia-2019-article-iv-consultation-press-release-staff-report-and-48654",
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  "summary": "This 2019 Article IV Consultation with Federated States of Micronesia (FSM) highlights that the economy has performed well in recent years, with relatively high growth and low inflation.",
  "sections": [
    {
      "heading": "Key findings and recent performance",
      "content": "- The economy \"has performed well in recent years, with relatively high growth and low inflation.\"\n- Fiscal and current account balances \"have recorded large surpluses since 2017, owing to the authorities’ decision to save revenue windfalls.\"\n- Private sector activity \"remains anaemic.\"\n- The country \"is highly vulnerable to climate change.\""
    },
    {
      "heading": "Risks and medium-term outlook",
      "content": "- Various economic supports under the Compact Agreement with the United States \"are set to expire in 2023.\"\n- Unless renewed, the FSM is expected to lose access to:\n  - \"Compact grants, giving rise to a fiscal cliff in 2023;\"\n  - \"banking sector oversight by the Federal Deposit Insurance Corporation;\"\n  - \"post-disaster rehabilitation assistance.\"\n- Recommended medium-term disaster-risk management instruments include:\n  - \"disaster insurance\" and\n  - \"disaster-contingent foreign financing.\""
    },
    {
      "heading": "Policy recommendations and resilience measures",
      "content": "- Strengthen capacity to implement adaptation projects to \"improve resilience to climate change.\"\n- Use financial instruments to mitigate disaster risks over the medium term: \"disaster insurance and disaster-contingent foreign financing.\""
    },
    {
      "heading": "Publication and subject metadata",
      "content": "- Publication title: Federated States of Micronesia: 2019 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Federated States of Micronesia\n- Date: September 6, 2019\n- Series: Country Report No. 2019/288\n- Issue: 288\n- Volume: 2019\n- Pages: 78\n- DOI: https://doi.org/10.5089/9781513513263.002\n- Stock No: 1FSMEA2019001\n- ISBN: 9781513513263\n- ISSN: 1934-7685\n- Subject: Environment, External debt, Extra-budgetary funds, Natural disasters, Public debt, Public financial management (PFM), Revenue administration\n- Keywords: CR, debt, energy master plan, Extra-budgetary funds, fiscal cliff, FSM authorities, FSM banking law, FSM economy, Global, IMF quota, IMF-World Bank Climate Change Policy Assessment, ISCR, Micronesia, Natural disasters, Pacific Islands\n\nInternational Monetary Fund. Asia and Pacific Dept \"Federated States of Micronesia: 2019 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Federated States of Micronesia\", IMF Staff Country Reports 2019, 288 (2019), accessed 9/11/2026, https://doi.org/10.5089/9781513513263.002\n\n---\n\n Content in this bundle\n\n- 1fsmea2019001\n  - 1fsmea2019001 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - 1fsmea2019001 (PDF){rel=\"external\" type=\"application/pdf\"}"
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    "Published: September 6, 2019",
    "Series: IMF Staff Country Reports",
    "DOI: https://doi.org/10.5089/9781513513263.002",
    "The economy \"has performed well in recent years, with relatively high growth and low inflation.\"",
    "Fiscal and current account balances \"have recorded large surpluses since 2017, owing to the authorities’ decision to save revenue windfalls.\"",
    "Private sector activity \"remains anaemic.\"",
    "The country \"is highly vulnerable to climate change.\"",
    "Various economic supports under the Compact Agreement with the United States \"are set to expire in 2023.\"",
    "Unless renewed, the FSM is expected to lose access to:",
    "Recommended medium-term disaster-risk management instruments include:",
    "Strengthen capacity to implement adaptation projects to \"improve resilience to climate change.\"",
    "Use financial instruments to mitigate disaster risks over the medium term: \"disaster insurance and disaster-contingent foreign financing.\"",
    "Publication title: Federated States of Micronesia: 2019 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Federated States of Micronesia",
    "Date: September 6, 2019",
    "Series: Country Report No. 2019/288",
    "Issue: 288",
    "Volume: 2019",
    "Pages: 78",
    "DOI: https://doi.org/10.5089/9781513513263.002",
    "Stock No: 1FSMEA2019001",
    "ISBN: 9781513513263",
    "ISSN: 1934-7685",
    "Subject: Environment, External debt, Extra-budgetary funds, Natural disasters, Public debt, Public financial management (PFM), Revenue administration",
    "Keywords: CR, debt, energy master plan, Extra-budgetary funds, fiscal cliff, FSM authorities, FSM banking law, FSM economy, Global, IMF quota, IMF-World Bank Climate Change Policy Assessment, ISCR, Micronesia, Natural disasters, Pacific Islands",
    "**1fsmea2019001**"
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