Cape Verde:Eight Review Under the Policy Support Instrument: Staff Report; Press Release

Author: International Monetary Fund

Eight Review Under the Policy Support Instrument: Staff Report; Press Release

Volume/Issue: Volume 2010 Issue 218

Publication date: July 2010

ISBN: 9781455203819

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Topics covered in this book

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Banks and Banking , Exports and Imports , Economics- Macroeconomics , Money and Monetary Policy , ISCR , CR , IMF's framework , Cape Verde's PSI , executive board's decision , net , IMF staff estimate , BCV Policy rate , domestic borrowing , Debt sustainability , Credit , International reserves , Debt service , Global

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Summary

Cape Verde’s economic and policy performance remains strong. Growth is expected to recover gradually in the next few years. The global economic slowdown has affected the performance of the onshore banking sector. Risks to the outlook are broadly balanced. Executive Directors support the strategy of public investment in infrastructure to crowd in private sector development. The government will need to manage carefully its debt to maintain its low risk of debt distress. The ongoing efforts to strengthen the financial sector regulation and supervision are commended.