07.29.09
IMF approves US$1.4 Million Disbursement for Seychelles
The Executive Board of the International Monetary Fund (IMF) has recently completed the second review of Seychelles’ economic programme under the two-year stand-by arrangement. By the results of the review, IMF decided to approve a disbursement to Seychelles in the amount of approximately US$1.4 million.
The Executive Board of IMF also completed the latest review of quarterly financing assurances and approved the modification of quarterly quantitative performance criteria, and agreed to establish a schedule of semi-annual program reviews.
Deputy managing director and chairman of the Executive Board, Mr. Takatoshi Kato, speaking about Seychelles, noted rapid progress on macroeconomic stabilization of the jurisdiction, and the significant fiscal consolidation backed by the market-based monetary policy. By his words, the country should continue its efforts to expand monetary policy instruments, and modernize “the the legal and institutional framework for the financial sector.”
He pointed out that the authorities of Seychelles “have strengthened tax administration and launched a fundamental tax policy reform, which are key to improving the investment climate, reducing economic distortions, and securing fiscal sustainability.”
Mr. Kato also said that good progress is being made with public external debt restructuring, and the authorities should reinforce their debt management capacity, supported by IMF technical assistance.