The International Monetary Fund (IMF) has granted $38.4 million in aid to Guinea-Bissau to help the former Portuguese colony pursue its economic reforms and embrace inclusive growth. This boost will be distributed over three years.
Technically, this program aims to improve the management of budgetary resources and public investments, to increase transparency, but also to improve the education and health sectors, while reducing poverty. In addition, the fight against corruption and the financing of terrorism is also at the core of this system.
Ecofin Agency determines it Revenue mobilization, expenditure rationalization, fiscal risk mitigation and prudent borrowing should reduce, in the medium term, the (national) deficit and debt in line with the WAEMU convergence criteria..
The media add to that “The recovery of the economy, which the IMF projected this year, remains threatened by significant downside risks linked to domestic weakness, long-term fragility, volatility in cashew exports, and the fallout from the Russia-Ukraine war. These factors could further affect food and energy prices (in Guinea-Bissau).”.