Abstract
This staff report on United States 2013 Article IV Consultation highlights economic policies and development. The economy grew at an annual rate of 1.8 percent in the first quarter of 2013, held down by sharp cuts in public spending, and economic indicators suggest that growth has remained weak in the second quarter of the year. Employment gains averaged about 200,000 over the first half of 2013, up from 180,000 in the previous six months. The unemployment rate continued to fall from its October 2009 peak of 10 percent to 7.6 percent in June 2013, although much of the improvement reflects lower labor force participation.
Fund Relations(As of May 31, 2013)
Membership Status: Joined 12/27/45; Article VIII
General Resources Account:
| SDR Million | Percent Quota | ||
|---|---|---|---|
| Quota 42,122.40 | 100.00 | ||
| Fund holdings of currency | 28,794.68 | 68.36 | |
| Reserve position in Fund | 13,326.97 | 31.64 | |
| Lending to the Fund | |||
| New Arrangements to Borrow | 8,524.09 | ||
| SDR Million | Percent Quota | ||
|---|---|---|---|
| Quota 42,122.40 | 100.00 | ||
| Fund holdings of currency | 28,794.68 | 68.36 | |
| Reserve position in Fund | 13,326.97 | 31.64 | |
| Lending to the Fund | |||
| New Arrangements to Borrow | 8,524.09 | ||
SDR Department:
| SDR Million | Percent Allocation | |
|---|---|---|
| Net cumulative allocation | 35,315.68 | 100.00 |
| Holdings | 35,826.28 | 101.45 |
| SDR Million | Percent Allocation | |
|---|---|---|
| Net cumulative allocation | 35,315.68 | 100.00 |
| Holdings | 35,826.28 | 101.45 |
Outstanding Purchases and Loans: None
Financial Arrangements: None
Projected Payments to the Fund:
(SDR Million; based on existing use of resources and present holdings of SDRs):
| Forthcoming | |||||
|---|---|---|---|---|---|
| 2013 | 2014 | 2015 | 2016 | 2017 | |
| Principal | |||||
| Charges/Interest | 0.20 | 0.20 | 0.20 | 0.20 | |
| Total | 0.20 | 0.20 | 0.20 | 0.20 | |
| Forthcoming | |||||
|---|---|---|---|---|---|
| 2013 | 2014 | 2015 | 2016 | 2017 | |
| Principal | |||||
| Charges/Interest | 0.20 | 0.20 | 0.20 | 0.20 | |
| Total | 0.20 | 0.20 | 0.20 | 0.20 | |
Exchange Rate Arrangements: The exchange rate of the U.S. dollar floats independently and is determined freely in the foreign exchange market.
Payments Restrictions. The United States accepted Article VIII of the IMF’s Articles of Agreement and maintains an exchange system free of restrictions and multiple currency practices with the exception of limited restrictions on certain payments and transfers imposed for security reasons. The United States currently administers approximately 30 economic sanctions programs, which restrict certain payments and transfers for transactions against particular foreign governments, entities, and individuals. The United States administers sanctions programs relating to, inter alia, Burma, Cuba, Iran, North Korea, and Sudan. Several other sanctions programs, including those relating to Côte d’Ivoire, Liberia, Somalia, Syria, Western Balkans, and Zimbabwe are “list-based” programs, affecting only members of certain government regimes and other individuals and entities whose activities have been determined to threaten the national security, foreign policy, or economy of the United States. The United States also implements similar list-based sanctions programs against: narcotics traffickers; terrorism-related governments, entities, and individuals; and proliferators of weapons of mass destruction.
Article IV Consultation. The 2012 Article IV consultation was concluded in July 2012 and the Staff Report was published as IMF Country Report No. 12/213. A fiscal ROSC was completed in the context of the 2003 consultation. An FSAP involved two missions, during October 14–November 3, 2009 and February 17–March 12, 2010. The FSSA was discussed at the board, together with the 2010 Article IV Consultation, on July 26, 2010.
The 2013 Article IV discussions were conducted from May 6–May 17, 2013. Concluding meetings with Chairman Bernanke of the Board of Governors of the Federal Reserve System, and Treasury Secretary Lew occurred on May 31st and June 12th, respectively. The Managing Director, Ms. Lagarde, and WHD Director, Mr. Werner, participated in the concluding meetings. A press conference on the consultation was held on June 14th, 2013. The team comprised Gian Maria Milesi-Ferretti (head), Roberto Cardarelli, Martin Sommer, Francesco Columba, Gabriel Di Bella, Madelyn Estrada, Deniz Igan, and Jarkko Turunen (all WHD); Chris Papageorgiou (SPR); Rebecca McCaughrin (MCM); and, Tao Wu (ICD), with contributions from Steve Dawe and Emmanuel Mathias (LEG); Marshall Mills, Katrin Elborgh-Woytek, Lars Engstrom, and Michele Ruta (SPR). Ms. Lundsager (Executive Director) and Mr. Weiss (Advisor) attended some of the meetings. Outreach included discussions with Congressional staff and think tanks. Unless an objection from the authorities of the United States is received prior to the conclusion of the Board’s consideration, the document will be published.
Statistical Issues
Statistical Issues: Comprehensive economic data are available for the United States on a timely basis. The quality, coverage, periodicity, and timeliness of U.S. economic data are adequate for surveillance. Coverage of international capital flows in external sector statistics has been improved, with the June 2007 releases of BOP and IIP data on financial derivatives. The United States has subscribed to the Special Data Dissemination Standard (SDDS) and its metadata are posted on the Dissemination Standard Bulletin Board (DSBB).
United States: Table of Common Indicators Required for Surveillance
(As of June 27, 2013)
Daily (D), Weekly (W), Biweekly (B), Monthly (M), Quarterly (Q), Annually (A); NA: Not Available.
Includes reserve assets pledged or otherwise encumbered as well as net derivative positions.
Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
United States: Table of Common Indicators Required for Surveillance
(As of June 27, 2013)
| Date of latest observation | Date received | Frequency of data1 | Frequency of reporting1 | Frequency of publication1 | |
|---|---|---|---|---|---|
| Exchange rates | June 21 | June 24 | D | W | W |
| International reserve assets and reserve liabilities of the monetary authorities2 | June 26 | June 27 | W | W | W |
| Reserve/base money | June 26 | June 27 | B | W | W |
| Broad money | June 13 | June 21 | W | W | W |
| Central bank balance sheet | June 26 | June 27 | W | W | W |
| Interest rates3 | same day | same day | D | D | D |
| Consumer price index | May 2013 | June 18 | M | M | M |
| Revenue, expenditure, balance and composition of financing4—general government5 | 2013 Q1 | May 31 | Q | Q | Q |
| Revenue, expenditure, balance and composition of financing4—central government | May 2013 | June 12 | M | M | M |
| Stocks of central government and central government-guaranteed debt | May 2013 | June 6 | M | M | M |
| External current account balance | 2013 Q1 | June 14 | Q | Q | Q |
| Exports and imports of goods and services | Apr. 2013 | June 4 | M | M | M |
| GDP/GNP (3rd release) | 2013 Q1 | June 26 | Q | M | M |
| Gross External Debt | 2012 Q4 | March 29 | Q | Q | Q |
| International Investment Position6 | 2012 | June 25 | A | A | A |
Daily (D), Weekly (W), Biweekly (B), Monthly (M), Quarterly (Q), Annually (A); NA: Not Available.
Includes reserve assets pledged or otherwise encumbered as well as net derivative positions.
Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
United States: Table of Common Indicators Required for Surveillance
(As of June 27, 2013)
| Date of latest observation | Date received | Frequency of data1 | Frequency of reporting1 | Frequency of publication1 | |
|---|---|---|---|---|---|
| Exchange rates | June 21 | June 24 | D | W | W |
| International reserve assets and reserve liabilities of the monetary authorities2 | June 26 | June 27 | W | W | W |
| Reserve/base money | June 26 | June 27 | B | W | W |
| Broad money | June 13 | June 21 | W | W | W |
| Central bank balance sheet | June 26 | June 27 | W | W | W |
| Interest rates3 | same day | same day | D | D | D |
| Consumer price index | May 2013 | June 18 | M | M | M |
| Revenue, expenditure, balance and composition of financing4—general government5 | 2013 Q1 | May 31 | Q | Q | Q |
| Revenue, expenditure, balance and composition of financing4—central government | May 2013 | June 12 | M | M | M |
| Stocks of central government and central government-guaranteed debt | May 2013 | June 6 | M | M | M |
| External current account balance | 2013 Q1 | June 14 | Q | Q | Q |
| Exports and imports of goods and services | Apr. 2013 | June 4 | M | M | M |
| GDP/GNP (3rd release) | 2013 Q1 | June 26 | Q | M | M |
| Gross External Debt | 2012 Q4 | March 29 | Q | Q | Q |
| International Investment Position6 | 2012 | June 25 | A | A | A |
Daily (D), Weekly (W), Biweekly (B), Monthly (M), Quarterly (Q), Annually (A); NA: Not Available.
Includes reserve assets pledged or otherwise encumbered as well as net derivative positions.
Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.