Selected Decisions and Selected Documents of the IMF, Fortieth Issue -- Modalities for Surveillance over Eastern Caribbean Currency Union Policies in Context of Article IV Consultations with Member Countries

Prepared by the Legal Department of the IMF
As updated as of April 30, 2019

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Exchange Arrangements and Surveillance
Surveillance over Monetary Unions


Staff will hold annual discussions with the regional institutions responsible for common policies in the Eastern Caribbean Currency Union (ECCU). These discussions will be held separately from the discussions with individual ECCU members.

There will be an annual staff report and Board discussion of the common policies of ECCU. Both staff’s discussions with ECCU institutions and the Board discussion of the annual staff report will be considered an integral part of the Article IV consultation with each member.

In addition to common policies in ECCU that are relevant for surveillance, including monetary and exchange rate policies, the annual staff report will cover from a regional perspective other economic policies relevant for Fund surveillance for which responsibility remains at the national level. There will be a summing up of the conclusion of the Board’s annual discussion on ECCU’s common policies. It will be incorporated by reference into the summings-up for the Article IV consultations with individual ECCU members that take place before the next annual Board discussion of ECCU’s common policies.1 The Board discussions for the Article IV consultations with individual members will be clustered, to the extent possible, around the Board discussion on the common policies of ECCU.

If considered necessary by the Managing Director, staff will hold a second round of discussions during the year with regional institutions and report to the Board informally on these discussions to provide adequate context for bilateral consultations with the individual members that do not coincide broadly with the annual Board discussion on the ECCU’s policies.

The frequency of Article IV consultations with individual members shall be determined in accordance with the Board decisions on consultation cycles. (SM/05/429, 12/22/05)

Staff reports and related documents pertaining to Fund surveil-lance under Article IV over the (i) common monetary and exchange rate policies of ECCU, and (ii) the policies of each individual Fund member that forms part of ECCU, shall be communicated to the East Caribbean Central Bank (ECCB) at the same time the relevant staff report is made available to the Executive Board, provided, however, that a staff report or related document concerning the policies of an individual Fund member will only be shared with ECCB with that member’s consent.2

Decision No. 13655-(06/1),

January 6, 2006,

as amended by Decision No. 14060-(08/15),

February 12, 2008

1 Ed. Note: Decision No. 14060-(08/15), February 12, 2008 provides that this sentence “shall become effective from the time of the next annual Board discussion of ECCU’s common policies.”

2 Ed. Note: Decision No. 14060-(08/15), February 12, 2008, provides that this paragraph “shall become effective upon receipt by the Managing Director of a certification from the Governor of ECCB that it will, in the manner specified by the Fund, preserve the confidentiality of all information and documents communicated by the Fund to ECCB and that any such information and documents shall be solely for the internal use of ECCB. (SM/08/50, 2/5/08)”

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