International Monetary Fund. External Relations Dept.
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I. B ackground
Political Situation: October 31 Presidential and Congressional Elections
1. The candidate of the left-leaning Frente Amplio-led coalition (FA), Dr. Tabaré Vazquez, was elected resident in the first election round on October 31 . Dr. Vazquez’s policy focus during the campaign was on poverty alleviation, income redistribution, and state support to promote employment and strategic sectors; throughout the campaign, he also stressed the need to maintain macroeconomic stability and honor the nations’ debt commitments. The president-elect has
This paper examines Peru’s 2002 Article IV Consultation, First Review Under the Stand-By Arrangement, and a Request for Modification and Waiver of Performance Criteria. The fiscal policy was tightened in early 2002 from the expansionary stance in the second half of 2001. The baseline medium-term outlook is favorable, albeit not without risks. Assuming sound macroeconomic policies and structural reforms continue, Peru should be able to achieve medium-term growth of 5 percent. However, the domestic political situation contains clear risks, potentially holding up tax reform and undermining fiscal discipline.
This paper examines Uruguay’s Sixth Review Under the Stand-By Arrangement and Requests for Modification of the Arrangement. The macroeconomic framework is on track, but progress with structural reform remains uneven. Fiscal performance has been better than programmed, reflecting buoyant revenues. The monetary and balance-of-payments targets of the program are being met as well. GDP growth is now forecast at 11 percent in 2004. The restructuring of the public banks and disposal of assets in the bank liquidation funds are moving forward.
This paper reports on the economic and financial reforms in Guinea-Bissau. After a long period of recession since the beginning of 2000 followed by a slight recovery in 2007, the economy of Guinea-Bissau has entered a new growth spurt in 2008. The budget deficit, which averaged 10 percent of GDP between 2005 and 2007, has been reduced to 3.2 percent in 2008 and 3.0 percent in 2009 by raising more revenue domestically and by controlling expenses.
This report highlights Ghana’s Poverty Reduction Strategy Paper (PRSP). The Ghana Poverty Reduction Strategy (GPRS) represents comprehensive policies, strategies, programs, and projects to support growth and poverty reduction from 2002 to 2004. The GPRS will also focus on providing the enabling environment that will empower all Ghanaians to participate in wealth creation and to partake in the wealth created. The GPRS aims at removing key obstacles to access and use, by the poor, of basic education, health care, population control, good drinking water, and improved sanitation.