Sao Tome and Principe: IMF approves credit after “encouraging” performance evaluation

27 December 2007

Washington, United States, 27 Dec – The International Monetary Fund announced last week that it has approved US$ 2.1 million in loans to Sao Tome following “encouraging” evaluation of the archipelago’s economic performance.

In a statement, IMF deputy-managing director Murilo Portugal warned that Sao Tome must continue efforts to control its state spending and push forward with structural economic reforms to create a better business climate in the islands.

With its fifth positive evaluation of Sao Tome and approval of new credits of US$ 700,000 the IMF has provided a total US$ 4 million to the archipelago under its Poverty Reduction and Growth Facility (PRGF). Approved in 2005, this program has total forecast investment of US$ 4.6 million.

The IMF has also approved a credit of US$ 1.4 million under its Highly Indebted Poor Countries (HIPC) program, boosting to US$ 2.1 million its total support to Sao Tome. (macauhub)