This paper presents perhaps the most viable approach for the design of an instrument of government finance (and monetary management) in an Islamic economy where conventional transactions based on an ex-ante promise of a risk-free rate of return are forbidden. Resources to finance government...

This paper discusses the need for ensuring financial stability in countries with Islamic Banking (IB). IB continues to grow rapidly, in size and complexity, posing a challenge to supervisory authorities and central banks. The legal environment within which IBs operate can be complex and...

The paper analyzes the bearing of Islamic teachings on the conduct of fiscal policy. It is shown that Islamic teachings do not prescribe any rigid system of public finance. The major emphasis is on the state’s responsibility to assure at least a basic minimum standard of living for all...

This paper assesses the First Review Under the Staff-Monitored Program (SMP) for Afghanistan. The authorities have met all of the indicative quantitative targets set out under the SMP and all the structural benchmarks, except the benchmark on licensing of commercial banks, which was only partly...

Since end-2001, the Government of Afghanistan (GoA) has focused on crisis management, establishing or rebuilding fundamental institutions and basic government services, and maintaining economic stability with the help of the international community. The authorities have made significant strides...

The authorities have made solid progress in rebuilding institutions and implementing sound economic policies, although huge challenges still remain. The IMF has been providing extensive policy advice and technical assistance to the authorities. With the help of the international community, the...

This paper focuses on Afghanistan’s 2004 Article IV Consultation and Second Review Under the Staff-Monitored Program. The authorities have made further progress in rebuilding institutions and implementing sound economic policies. They have maintained their commitment to fiscal discipline. Real...

Benin has been implementing a national poverty reduction strategy for sustainable human development. The government of Benin judiciously stressed the development of the social sector and improved governance to develop human resources and enhance the effectiveness of its actions so as to lay the...

This paper reviews the Annual Progress Report (APR) on Poverty Reduction Strategy Paper (PRSP) on Benin. The APR presents an overview of the implementation of the strategy addressing in turn the new vision of development in Benin, the major projects initiated for the creation of national wealth...