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Cover IMF Staff Country Reports
Colombia: Selected Issues Paper
International Monetary Fund. Western Hemisphere Dept.
This Selected Issues paper addresses key areas that would contribute to maintaining macroeconomic stability and inclusive growth. Strong economic growth in Colombia has significantly reduced poverty, but has had limited impact on reducing inequality. Strong growth and social programs have helped reduce poverty. Going forward, efforts to further strengthen education, pension, and tax systems stand to yield important social gains, as recognized by the national development plan. Labor market distortions have declined in recent years, but challenges remain. The elimination of infrastructure gaps will also play a key role in sustaining strong and broad-based growth, and supporting further economic diversification.
Keywords:
ISCR; CR; labor market; enterprise; youth entrepreneurship strategy; labor distortion; Okun coefficient; labor market flexibility; youth entrepreneurship initiative; Income inequality; Basel III; Income; Capital adequacy requirements; Financial inclusion; Global; Central America; Middle East
Cover Finance & Development
How to Build a Better Future for Latin America: Latin America and the Challenges It Faces
Adriana Lorena and Rojas Castro

For the latest thinking about the international financial system, monetary policy, economic development, poverty reduction, and other critical issues, subscribe to Finance & Development (F&D). This lively quarterly magazine brings you in-depth analyses of these and other subjects by the IMF’s own staff as well as by prominent international experts. Articles are written for lay readers who want to enrich their understanding of the workings of the global economy and the policies and activities of the IMF.

Keywords:
FD; F&D; worker; firm; IMF-World Bank; job growth; income; Universidad del Pacifico; contest for Latin American; short essay; higher education; Income inequality
Cover Policy Papers
The Fund's Capacity Development Strategy - Better Policies Through Stronger Institutions - Background Paper
International Monetary Fund
This supplement provides background information on various aspects of capacity development (CD) for the main Board paper, The Fund’s Capacity Development Strategy—Better Policies through Stronger Institutions. It is divided into nine notes or sections, each focused on a different topic covered in the main paper. Section A explores the importance of institutions for growth, and the role the Fund can play in building institutions. Section B presents stylized facts about how the landscape for CD has changed since the late 1990s. Section C discusses the difficulties of analyzing CD data because of measurement issues. Section D provides a longer-term perspective on how Fund CD has responded to member needs. Section E contains information on previous efforts to prioritize CD, assesses Regional Strategy Notes (RSNs) and country pages, and suggests ways to strengthen RSNs, including by using the Fund’s surveillance products. Section F compares the technical assistance (TA) funding model proposed in the 2011
Keywords:
PP; funding model; Fund TA; donor financing; TA department; evaluation instrument; strategy paper; TA delivery; TA priority; TA mission; TA-training synergy; resourced TA demand; evaluation program; TA needs; Personal income; Early warning systems; Employment; Information systems and platforms; Global; Sub-Saharan Africa; Middle East and Central Asia; Africa; Middle East
Cover IMF Staff Country Reports
Peru
Selected Issues
International Monetary Fund

This Selected Issues paper for Peru explains growth and reform in the country post-1990. As half of the population in Peru still lives below the poverty line, further research should consider how the link between average income improvements and poverty reduction can be strengthened. Although the ongoing decentralization effort in Peru has been based on considerations of fiscal sustainability, more work needs to be done to ensure that the conditions for a successful decentralization are in place. The experience of Peru teaches that sound macroeconomic policies are a precondition for de-dollarization.

Keywords:
ISCR; CR; Peru; government; Subnational government; composite structural reform index; Peru's growth; Peru lag; time-series model; growth determinants in Peru; Inflation; Infrastructure; Public expenditure review; Banco Central de Reserva del Peru
Cover IMF Staff Country Reports
Peru: Selected Issues
International Monetary Fund
This Selected Issues paper reviews economic developments in Peru during 1995–98. In July 1996, the Executive Board of the IMF approved a follow-up extended arrangement in support of Peru’s program for 1996–98. After a slowdown in 1996, economic activity picked up in 1997 while inflation declined significantly. The net official international reserves position strengthened further, and gross reserves reached the equivalent of close to eight months of imports of goods and services at end-1997. During 1996–97, Peru restructured the debt owed to foreign commercial and Paris Club bilateral creditors.
Keywords:
ISCR; CR; government; rate; banking system; worker; banking law; Peruvian authorities; banking law bank; contribution rate; Banco de la Nación; private sector remuneration; Pension spending; Income distribution; Commercial banks; Western Hemisphere; Sub-Saharan Africa; Global
Cover Finance & Development
Unorthodox Adjustment and Poverty in Peru
Paul Glewwe and Gillette Hall

For the latest thinking about the international financial system, monetary policy, economic development, poverty reduction, and other critical issues, subscribe to Finance & Development (F&D). This lively quarterly magazine brings you in-depth analyses of these and other subjects by the IMF’s own staff as well as by prominent international experts. Articles are written for lay readers who want to enrich their understanding of the workings of the global economy and the policies and activities of the IMF.

Keywords:
FD; F&D; population pattern; country; birth rate; structural adjustment policy; IMF approach; structural adjustment program; World Bank publication; poverty index; Consumption