By Sama Marwan,
The International Monetary Fund (IMF) has been actively engaged with several African and European nations, providing economic assessments, recommendations, and support. Recent statements and reports highlight the IMF’s focus on bolstering economic resilience in Estonia, promoting data transparency in the Central African Republic, and strengthening collaborative partnerships with Mozambique.
IMF Recommends Measures for Estonia’s Economic Resilience
An IMF mission has concluded its assessment of the Estonian economy, offering several recommendations aimed at enhancing its adaptability in the face of current global challenges.
The IMF noted that while Estonia’s economy is gradually recovering from a prolonged downturn, it continues to grapple with elevated prices and costs stemming from past economic shocks. Furthermore, heightened global policy uncertainty and increasing trade barriers are hindering a more robust recovery.
The Fund pointed out that innovative startups, considered a potential driver of growth, face constraints due to a shortage of skilled labor and limited access to capital markets. Simultaneously, rapidly increasing defence spending needs are exacerbating pre-existing fiscal imbalances.
While acknowledging that the current year’s budget appropriately balances spending efforts with deficit containment, the IMF recommends implementing a moderate fiscal adjustment starting in 2026. This adjustment aims to address growing imbalances, stabilize the debt ratio, and preserve fiscal buffers.
The IMF stressed the importance of carefully calibrated macroprudential policies and decisive domestic structural reforms. These reforms should focus on facilitating the reallocation of labor, reducing regulatory burdens, and deepening the EU’s single market, which the IMF believes will be crucial in building resilience and supporting medium-term growth.
Central African Republic Enhances Data Transparency with IMF Support
The Central African Republic (CAR) has implemented a key recommendation of the IMF’s Enhanced General Data Dissemination System (e-GDDS) by launching a new data portal, the National Summary Data Page (NSDP). This initiative signifies the country’s commitment to publishing essential macroeconomic and financial data.
The IMF highlighted that the e-GDDS is the first tier of its Data Standards Initiatives, promoting transparency as a global public good and encouraging countries to voluntarily disseminate timely data crucial for economic performance monitoring and analysis.
The launch of the NSDP is considered a testament to the CAR’s dedication to data transparency, providing a comprehensive platform for various macroeconomic data collected by multiple statistical agencies. The published data includes statistics on national accounts, prices, government operations, debt, the monetary and financial sector, and the external sector.
The establishment of the NSDP was supported by an IMF technical assistance mission, funded by the Government of Japan and conducted in collaboration with the African Development Bank. The mission worked closely with the Central African Institute of Statistics and Economic and Social Studies, the Bank of Central African States, and the Ministry of Finance and Budget.
With this step, the Central African Republic joins 75 countries worldwide and 33 in Africa that utilize the e-GDDS for disseminating standardized data.
Bert Kroese, the IMF’s Chief Statistician and Data Officer, lauded this development as a major milestone in the CAR’s statistical progress. He affirmed that the improved data transparency would benefit the country and that the IMF stands ready to continue supporting the authorities in further developing their statistical systems.
IMF Deputy Managing Director Discusses Enhanced Cooperation with Mozambique
IMF Deputy Managing Director Bo Li concluded his first official visit to Mozambique, engaging in productive discussions with Mozambican authorities on ways to strengthen their ongoing partnership.
During his visit, Mr. Li met with President Daniel Chapo, Finance Minister Carla Loveira, Central Bank Governor Rogerio Zandamela, and other senior officials, expressing gratitude for their hospitality and constructive dialogue. Discussions focused on opportunities to enhance the continuous partnership through regular policy dialogue and technical assistance. The IMF reiterated its commitment to supporting Mozambique’s efforts to improve the living standards of its population.
Mr. Li also met with the Committee of Central Bank Governors of the Southern African Development Community (SADC) to advance initiatives aimed at improving cross-border payments within the regional bloc. He noted the member countries’ commitment to this shared objective and the good progress being made. Furthermore, discussions explored opportunities to further strengthen the joint technical assistance provided by the IMF and the World Bank on cross-border payments. Mr. Li expressed his anticipation for continued close and productive collaboration.
These engagements highlight the IMF’s multifaceted approach to supporting its member countries through tailored economic advice, technical assistance, and collaborative partnerships, aiming to foster economic stability, resilience, and transparency globally.
