IMF approves aid plans for Guinea Bissau

22 June 2009

Washington, United States, 22 Jun – The International Monetary Fund (IMF) announced Friday in Washington the approval of US$2.737 million of support for the Guinean Government’s economic aid program for 2009.

The plan was approved under the Emergency Post-Conflict Assistance (EPCA) program, which promotes the strengthening of institutional and administrative capacity, “necessary to sustain economic recovery,” added the IMF in a statement.

“The IMF’s support through the EPCA is a key component in the concerted international efforts to ensure financial aid to Guinea Bissau,” said the organization.

The IMF’s deputy managing director, Murilo Portugal, said that Guinea Bissau was facing an “extremely difficult economic and fiscal situation.”

“Some progress was made during the EPCA program in 2008 in reforming fiscal management, but global economic developments, particularly lower demand and prices for exports, are expected to slow growth significantly and put pressure on the balance of payments, within a fiscal situation which is already tight,” said Brazilian Murilo Portugal. (macauhub)