IMF provides three-year loan of US$24 million to Guinea-Bissau

13 July 2015

The International Monetary Fund (IMF) approved a loan of US$24 million for Guinea-Bissau, as part of its three-year programme with the Guinean government, supported by the extended credit facility, the IMF said in a statement.

The approval of this assessment was made easier because of the determination demonstrated by the Guinean authorities to promote political and macroeconomic stability of Guinea-Bissau, the document said.

The IMF board concluded that, despite this, Guinea-Bissau still faces major socio-economic challenges and stressed the need for its continued commitment to prudent and complete reform policies.

The IMF board stressed the importance of budgetary discipline and effectiveness of public expenditure of the Guinean government and encouraged ongoing efforts in mobilsing revenue and creating additional fiscal space to meet development needs.

The Guinean Minister of Economy and Finance, Geraldo Martins, commenting on the loan, described the attitude of the IMF as an important step towards the normalisation of its relationship with Guinea-Bissau. (macauhub/GW)