This paper estimates revenue and expenditure pro-cyclicality with respect to output and domestic absorption in new member states of the European Union and Croatia to assess whether these countries used the boom years of 2003-07 to create sufficient fiscal space. The current crisis has found many...

This paper discusses experiences in reestablishing fiscal management in postconflict countries. Building fiscal institutions in postconflict countries essentially entails a three-step process: (1) creating a legal or regulatory framework for fiscal management; (2) establishing or strengthening...

The financial system of Timor-Leste was disrupted by the postreferrendum turmoil. Therefore, various steps were taken to restore the financial system. In this paper, major oil/gas fields and their development, fiscal arrangements governing oil/gas activities, and the oil/gas revenues are...

The staff report for the combined 2005 Article IV Consultation on Burkina Faso focuses on recent economic developments and performance. Burkina Faso has maintained an average real GDP growth rate of more than 6 percent annually, and inflation has been contained. Revenues performance is...

This paper examines Sierra Leone’s Poverty Reduction Strategy Paper (PRSP). Sierra Leone’s PRSP considers a number of short- to medium-term challenges that should not only impact immediately on the living conditions of people but also lay solid foundations for addressing the...

This 2005 Article IV Consultation highlights that Nepal’s economic growth has been affected by the political turmoil and conflict, although inflation has remained moderate, and international reserves are adequate. Real GDP growth averaged 2 percent during 2000/01–2004/05, compared...

This paper examines Tanzania’s 2004 Article IV Consultation and Second Review Under the Three-Year Arrangement Under the Poverty Reduction and Growth Facility. Tanzania has continued to maintain macroeconomic stability and to make substantial progress in structural reform. Real GDP growth...

This paper focuses on the Staff-Monitored Program (SMP) for Guinea-Bissau. The SMP, which covers the period April–December 2005, is based on the budget for 2005. It aims at avoiding new domestic arrears through a cash-rationing system, at improving tax administration and expenditure...

The staff report for the Use of Fund Resources—Request for Post-Conflict Emergency Assistance on the Central African Republic (CAR) focuses on the political situation and post-conflict economic recovery. The post-conflict economic recovery remains subdued. Fiscal reforms will focus on...

Debt relief and the scaling up of aid to low-income countries should allow for greater fiscal space for expenditure programs to create long-term growth and lower poverty rates. But designing a suitable medium-term fiscal framework that fosters a sustainable delivery of better public services and...