Sierra Leone News & Information

State House | Press Union | Lumley Beach | AllAfrica | SL-Web

  Giving Knowledge to the People
welcome to sierra leone's premier news source
Last Updated: Jun 25th, 2009 - 17:59:07 
Front Page 
 Breaking News
 Local News
 Photo News
 Video News
 Moiie's Column
 Role Models
 Awareness Lady
 Common Man
 Special Messages
 Legal Matters

Published online by
Sylvia Blyden Dot Com

17 Garrison Street,
Sierra Leone.
Tel: +232-77-772001
Tel: +232-88-321000
Tel: +232-76-350077
Tel: +232-30-321001


IMF Increases Support to APC-led Government
Jun 25, 2009, 17:32
Email this article
 Printer friendly page

IMF Executive Board Completes Fourth Review Under PRGF Arrangement for Sierra Leone, Approves Increase in Financial Support and US$18.8 Million Disbursement

Press Release No. 09/235 [June 24, 2009]

The Executive Board of the International Monetary Fund (IMF) completed on June 17, 2009 the fourth review of Sierra Leones economic performance under a four-year arrangement Poverty Reduction and Growth Facility (PRGF) arrangement and the review of the financing assurances. In completing the review, the Executive Board also approved an augmentation of Sierra Leones access under the PRGF arrangement equivalent to SDR 10.37 million (about US$16.8 million or 10 percent of quota) to help support maintenance of the countrys international reserves.

The completion of the review enables the disbursement of SDR 12.185 million (about $18.8 million), which would bring total disbursements under the arrangement to SDR 32.695 million (about US$50.3 million). The Executive Board also granted waivers for the nonobservance of one quantitative assessment criteria related to the floor of domestic government revenue.

The three-year PRGF arrangement for Sierra Leone was originally approved by the Executive Board on May 10, 2006 (see Press Release No. 06/94) in an amount equivalent to SDR 31.11 million (about US$47.9 million). The period of the arrangement was extended to four years to 2010 on July 7, 2008 (see Press Release No. 08/166). With the Boards approval of the augmentation of Sierra Leones access, the total amount of the arrangement will be equivalent to SDR 51.88 million (about US$79.9 million).

Following the Boards discussion on Sierra Leone, Mr. Murilo Portugal, Deputy Managing Director and Acting Chair, made the following statement:

"The global economic slowdown has weakened Sierra Leones near-term economic prospects, and declining world market prices for Sierra Leones main export commoditiesdiamonds and bauxiteare severely compressing export proceeds and reducing government revenues. The authorities have responded appropriately to the shock, and their continued commitment to maintaining macroeconomic stability will strengthen the foundations for higher economic growth when the global environment improves.

"Responding to the shortfalls in domestic revenue, the authorities are safeguarding capital and poverty-reducing spending, while minimizing the impact on the domestic financing requirements by cutting current nonpriority expenditures on goods and services and seeking additional external budget support. Since revenue collection remains low by regional standards, efforts need to be stepped up to strengthen tax administration and broaden the tax base. Key steps include the steadfast implementation of measures to make the National Revenue Authority more efficient and the introduction of the Goods and Services Tax in September 2009, but in any event not later than end-2009.

"Maintaining single-digit inflation is the main objective of monetary policy for the remainder of 2009. An appropriate mix of treasury bill and foreign exchange sales by the Bank of Sierra Leone will help sterilize liquidity injections from the execution of the budget. Keeping nominal exchange rate flexibility will facilitate the adjustment to external shocks.

"Structural reforms will be accelerated. The global financial crisis has increased the urgency for the Bank of Sierra Leone to strengthen its supervisory capacity and closely monitor developments to detect early signs of financial sector vulnerabilities. Restructuring the National Power Authority and improving its finances, deepening public financial management reforms, tackling corruption, and enhancing transparency in the use of public resources will promote high economic growth and improve the delivery of public services," added Mr. Portugal.

© Copyright by Awareness Times Newspaper in Freetown, Sierra Leone.

Top of Page

Latest Headlines
APCs Mayor Campaigning for the SLPP
In Sierra Leone, Awareness Times to Shut Down Operations for a Month
Michael Jackson Passes Away
Antecedent of My Piece on Kailahun Mess has nothing to do with Sia Koroma or John Benjamin
Fugitive Because of Arabella?
Applauding SLPPs John O. Benjamin
The Uncertainty of Sierra Leones Development: Is President Koroma at a Cross-Road?
Ojukokoro (Day Light Robbery?)
The Hub of West Africa!
State versus Sylvia Blyden: Big Comedy in Sierra Leone Court
Mama Hannah Elizabeth Clark Celebrates 95th Birthday in Texas
Front Page of Friday May 8th 2009 Edition of the State House Newspaper
Solomon Ekuma Berewa Gets Surprise 70th Birthday Party
Sierra Leone's Kha-Benneh Bangura Wants Your Votes
Goapele, Daddy Saj and Mahala @ Zanzibar on Night of Saturday 26th
Bio Data Of The Former President Of The Republic Of Sierra Leone Alhaji Dr. Ahmad Tejan Kabbah
A Chat With Sierra Leones First Doctorate Chartered Accountant: Dr. Dante Alie Bendu (B.Sc Hons, M.Sc, M.A., FeICM, ACCA, PhD)
Sierra Leonean Woman Excels In UK
Kailahun SLPP MP frowns at Finance Minister in Sierra Leone
Sept 23: Millicom Sierra Leone bounces back
Romanian buys more Sierra Leone Diamonds shares
Permanent Mission of the Republic of Sierra Leone to the United Nations Press Release
In Memory Of Marie Anne Elizabeth Macaulay
World Bank- Liberia and Sierra Leone
Statement By The Chairman Of The UK & Ireland Branch At The Prayer And Intercession Service To Commemorate The 58th Anniversary Of SLPP
Sierra Leone Envoy Launches Sierra College Foundation (SCF) in the UK
Contracting Authority: The ECOWAS Commission Support to Regional Integration in West Africa
Call the World, For less!
Africell For Him or For Her
Comissao Da Cedeao Ecowas Commission Commission De La Cedeao Vacancy Announcement
An Afflicted Cow FookFook Brain Manufactures Ronshos, Diamba, Gnomes, Rubber-Fack & Leprechauns; Desires to Import Machiavelli into a Democracy
Mama Salone Laments 48 Years of Freedom and Independence
Tourist Attraction: Office Of The President & Ministry Of Tourism & Culture should take note
Sincere Congratulations to Reverend Wilfred Leeroy Kabbs-Kanu from Sierra Leone
Awareness Times to re-open its Anonymous Discussion Forum

Copyright © 2005 - 2010, Awareness Times Sierra Leone; All Rights Reserved.
Hosted & Designed by West Africa Dot Net