Ivory Coast: IMF welcomes resilient economy and plans for « good performance »

The IMF delegation led by Céline Allard exchanged with the Ivorian authorities

The IMF welcomed a resilient Ivorian economy this October 3 despite the social and budgetary difficulties that marked the year 2017 and provides « good performance » over the next two years, said Céline Allard at the head of a mission came discuss the fourth review of the three-year economic and financial program supported by the institution.

« Despite the endogenous and exogenous shocks of the year 2017, the Ivorian economy has shown resilience and good economic performance is expected for 2018 and 2019, » the mission said in its statement.

« The performance of the IMF-supported program has been solid in the first half of 2018 », according to the delegation, which states that « all the performance criteria and indicative benchmarks for end-June 2018 have been achieved ». The same is true for the implementation of benchmarks related to « public debt management, monitoring of public enterprises, and fiscal policy and budget administration ».

In addition, the budget deficit that slipped last year as a result of the social crisis is expected to be « at 4% of GDP » in line with the program by the end of the year before « converging towards the deficit standard WAEMU regional budget of 3% of GDP « as early as next year, with the two parties agreeing on » fiscal policy measures for 2019 « .

The issue of indebtedness was also discussed during the discussions with « the need to preserve debt sustainability » while « creating the necessary space » to continue the public investments planned under the National Development Program (2016 -2020) « .

In addition, the mission noted « progress in strengthening the financial sector in the context of the regional transition to new prudential standards aligned with Basel II / III principles and welcomes the recapitalization of a public bank » .

Recall that for 2019, Côte d’Ivoire is banking on a projected budget of 7 334.3 billion FCFA (11.18 billion euros) up 8.6%. And economic growth is expected between 7 and 8% over the next few years.

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