Chapter 10 WORKSHOP 8 Balance of Payments Forecasting
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International Monetary Fund
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Abstract

This workshop provides background information and discusses possible techniques for forecasting balance of payments developments in Kenya during the period of a hypothetical financial program.1 Balance of payments forecasting is particularly important in developing countries with large foreign sectors2 and potentially unstable export receipts. Further, forecasting the possible need for balance of payments assistance and the impact of proposed adjustment policies represents a crucial element of financial programs linked to the use of the International Monetary Fund's resources.

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