Tanzania has weathered the adverse shocks of recent years relatively well. Revenue collection for 2010–11 has fallen short of targets, constraining public spending and contributing to the emergence of arrears. Monetary policy has become less accommodative. The near-term economic outlook is...

Performance of the banking sector during the crisis and challenges are discussed. The impact of the political crisis on the banking sector is outlined. The Kyrgyz Republic is one of the most open economies in the world. Gross international reserves (GIR) in the Kyrgyz Republic have increased...

Croatia’s economic vulnerability is discussed in this study. Using the balance sheet approach (BSA), this paper analyzes Croatia’s overall and sectoral vulnerabilities. Croatia’s financial sector balance sheet is exposed to liquidity, contagion, and currency risks. With strong pre-crisis...

The paper assesses the competitiveness of Swiss exporters, and shows that the effect of nominal exchange rate on trade balance depends on the degree of exchange rate pass-through and on trade elasticities. It highlights that the degree of exchange rate pass-through should also be factored in...

The economy of Haiti is recovering despite the challenging international and domestic environments. The FY2011 budget appropriately supports the reconstruction objectives in a context of sustainable public financing. Monetary policy remains geared toward keeping inflation in the single digits....

Oil production over the last 40 years has transformed Gabon into a middle-income country; but income inequality is high, and non-commodity sectors are stagnant. Gabon is recovering from the global financial crisis. The recovery to be sustained, with downside risks from commodity prices and...

Over the past two decades, wide-ranging structural reforms, supported by prudent policies, have established Mauritius as a top regional performer. The Mauritian economy recovered in 2010. Real GDP growth is estimated to have accelerated to 4 percent (3 percent in 2009), driven by strong growth...

This paper presents empirical evidence on the effects of achieving investment grade on borrowing costs for the sovereign and the private sector. This study provides background information on sovereign credit ratings and compares Panama’s key macroeconomic and institutional characteristics with...

We analyze the link between nonperforming loans (NPL) and macroeconomic performance using two complementary approaches. First, we investigate the macroeconomic determinants of NPL in panel regressions and confirm that adverse macroeconomic developments are associated with rising NPL. Second, we...

St. Kitts and Nevis is a small, open economy that is heavily dependent on tourism and other services, and some light manufacturing. The exchange rate peg to the U.S. dollar and strict limits on central government borrowing from the Eastern Caribbean Central Bank (ECCB) have helped maintain...