Front Matter

Front Matter Page

IMF Country Report No. 15/354

KINGDOM OF SWAZILAND

SELECTED ISSUES

December 2015

This Selected Issues paper on Kingdom of Swaziland was prepared by a staff team of the International Monetary Fund as background for the periodic consultation with the member country. It is based on the information available at the time it was completed on November 24, 2015.

Copies of this report are available to the public from

International Monetary Fund • Publication Services

PO Box 92780 • Washington, D.C. 20090

Telephone: (202) 623-7430 • Fax: (202) 623-7201

E-mail: publications@imf.org Web: http://www.imf.org

Price: $18.00 per printed copy

International Monetary Fund

Washington, D.C.

© 2015 International Monetary Fund

Front Matter Page

KINGDOM OF SWAZILAND

SELECTED ISSUES

November 24, 2015

Approved By

The African Department

Prepared by Yi Wu and Manabu Nose

Contents

  • ASSESSING SWAZILAND’S EXPORT DIVERSIFICATION AND QUALITY

  • REFERENCES

  • MACRO-FINANCIAL RISKS IN SWAZILAND’S BANKING SECTOR ASSOCIATED WITH THE SACU REVENUE FALL

  • A. Background

  • B. Exploring Macro-Financial Linkages

  • C. Mapping the Macroeconomic Shocks to Bank’s Asset Quality

  • D. Stress Testing Exercise

  • E. Conclusion

  • BOXES

  • 1. VAR Estimate on the Impact of SACU Shock on the Economy

  • 2. Satellite Model: Estimate on the Macroeconomic Shock on Credit Quality

  • FIGURES

  • 1. Banking System Performance

  • 2. Stress Test Calibration — Macroeconomic Assumptions

  • 3. VAR Analysis — Impulse Response Functions (without Feedback Effect)

  • 4. VAR Analysis — Impulse Response Functions (with Feedback Effect)

  • TABLES

  • 1. Kingdom of Swaziland Stress-Testing Scenario

  • REFERENCES

Kingdom of Swaziland: Selected Issues
Author: International Monetary Fund. African Dept.