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International Monetary Fund
Like most Sub-Saharan African countries, Kenya’s economic growth appears to have been primarily driven by factor accumulation. The Selected Issues paper and Statistical Appendix for Kenya examines economic developments and policies. During the last two decades, Kenya has been plagued by pervasive problems of internal conflicts, constitutional crises, and corruption scandals. The governance agenda focuses on several reforms, including upgrading the public budget and financial management systems, strengthening the anticorruption institutions, and improving the judicial framework.
Jie Yang
and
Dan Nyberg
Despite substantial debt relief to HIPC Initiative completion point countries, long-term debt sustainability remains a challenge. This paper examines a number of structural factors affecting external debt sustainability. It shows that in HIPC completion point countries (i) the export base broadly remains narrow; (ii) fiscal revenue mobilization lags behind in some countries; and (iii) policy and institutional frameworks are still relatively weak. Achieving and maintaining longterm debt sustainability in completion point countries will require continued structural reforms, timely donor support, and close monitoring of new non-concessional borrowing.
International Monetary Fund
The staff report for Uganda’s combined 2008 Article IV Consultation and Fourth Review Under the Policy Support Instrument is presented. Building on a foundation of two decades of sound policies, Uganda achieved an impressive economic performance, with high growth, low inflation, and steady poverty reduction. The deteriorating economic environment could expose weaknesses in banks’ risk management practices, gaps in home-host supervisory arrangements, operational risks as financial innovation outpaces banks’ systems and controls, and increasing risk appetite owing to intensifying competition from the surge of new banks.
Mr. Roger Nord
,
Mr. Yuri V Sobolev
,
Mr. David G. Dunn
,
Alejandro Hajdenberg
,
Mr. Niko A Hobdari
,
Samar Maziad
, and
Stéphane Roudet
This volume documents Tanzania’s remarkable turnaround from severe economic distress in 1985, and reviews the economic policies that twenty years later contributed to a successful reversal. Tanzania still faces many policy and reform challenges, despite the many recent economic achievements the country has experienced.
International Monetary Fund
This Selected Issues paper on Uganda discusses the progress toward harmonization of capital account regulations and capital market integration. A unified East African Community financial market would offer several benefits to the regional economy. It would expand the opportunities for savings and investment financing, encourage more competition among banks and financial institutions, and lower transaction costs through economies of scale. Greater diversification, risk management, and consumption smoothing would also be possible in a broader financial market, while monetary union would eliminate exchange rate risk within the region.
International Monetary Fund
This Selected Issues paper for Kenya, Uganda, and United Republic of Tanzania highlights their private sector credit markets, identifies their main obstacles in promoting credit to the private sector, and suggests a reform strategy. If the East African Community (EAC) countries decide to pursue a coordinated approach to investment incentives, one possible solution would be to agree on a Code of Conduct for Investment Incentives and Company Income Taxation. A transparent tax system with a broad base would reduce the demand by investors for tax holidays.
International Monetary Fund. African Dept.

Abstract

Sub-Saharan Africa's prospects have deteriorated somewhat and the risks have increased, according to this report. Growth in the region is projected to dip to 6 percent in 2008 and 2009. The fall is due mainly to the global food and fuel price shock, which has weighed particularly on growth in oil-importing countries, and to the global financial market turmoil, which has slowed global growth and demand for Africa's exports. Inflation is expected to rise to 12 percent in 2008, mainly on account of the food and fuel price shock. As a result of rising prices, particularly of food, poverty may well be on the increase in 2008. In 2009, inflation should ease to 10 percent, helped by recent commodity price declines. There are significant risks to the outlook related to a potentially deeper and longer period of global financial turmoil and resulting slowdown in global activity, and substantial uncertainty concerning commodity prices.

Mr. Abebe Aemro Selassie
Uganda has registered one of the most impressive economic turnarounds of recent decades. The amelioration of conflict and wide ranging economic reforms kick-started rapid economic growth that has now been sustained for some 20 years. But there is a strong sense in policy making circles that despite macroeconomic stability and reasonably well functioning markets, economic growth has not translated into significant structural transformation. This paper considers (i) Uganda's record of economic transformation relative to the high growth Asian countries and (ii) the contending explanations as to why more transformation and higher growth has proved elusive.
International Monetary Fund
This paper discusses key findings of the Third Review Under the Policy Support Instrument for Uganda. All end-December 2007 assessment criteria were met. Macroeconomic performance remains strong and the growth outlook remains positive. IMF staff supports the authorities’ request for waivers of nonobservance of four structural assessment criteria for end-May and end-June 2008. Nonobservance of these assessment criteria was largely owed to changes in program design in light of new information and reassessment of costs and priorities that do not compromise the integrity of the program.
International Monetary Fund

Abstract

This Guide provides clear, up-to-date guidance on the concepts, definitions, and classifications of the gross external debt of the public and private sectors, and on the sources, compilation techniques, and analytical uses of these data. The Guide supersedes the previous international guidance on external debt statistics available in External Debt: Definition, Statistical Coverage, and Methodology (known as the Gray Book), 1988. The Guide’s conceptual framework derives from the System of National Accounts 1993 and the fifth edition of the IMF’s Balance of Payments Manual (1993). Preparation of the Guide was undertaken by an Inter-Agency Task Force on Finance Statistics, chaired by the IMF and involving representatives from the Bank for International Settlements, the Commonwealth Secretariat, the European Central Bank, Eurostat, the OECD, the Paris Club Secretariat, UNCTAD, and the World Bank.