May 14, 2024, 9:36 PM
May 14, 2024, 9:36 PM
The Bolivian authorities are evaluating the latest report from the International Monetary Fund (IMF) regarding the Financial Sector Stability Assessment. From the Ministry of Economy and Public Finance they indicated that the country is in the evaluation process after the last annual visitand the results of this mission will be published in a timely manner once the corresponding reviews have been completed.
On the IMF website, indicate that on March 22, 2024, The agency’s executive board concluded its consideration of the Article IV consultation and the Stability Assessment of the Financial Sector of Bolivia.
“Under Article IV of its Articles of Agreement, the IMF is mandated to exercise supervision over economic, financial and exchange policies of its members in order to ensure the effective functioning of the international monetary system,” the publication states.
Likewise, it indicates that the evaluation of such policies by the IMF involves a comprehensive analysis of the general economic situation and the political strategy of each member country. So, IMF economists visit the member country, generally once a year, to collect and analyze data and hold conversations with Government and Central Bank officials. Upon their return, staff present a report to the IMF executive board for discussion. The board’s opinions are subsequently summarized and transmitted to the country’s authorities.
On the Fund’s official website it explains that authorities need more time to consider publication of the Article IV staff report, the related press release, and its stability assessment of the Bolivian financial sector.
It is a comprehensive evaluation of the financial sector
The Financial Sector Assessment Program (FSAP), established in 1999, is a comprehensive and in-depth assessment of a country’s financial sector. The main conclusions are summarized in a report called Evaluation of the Stability of the Financial System (FSSA), which analyzes the IMF executive board. “In cases where the FSSA is discussed outside the context of an Article IV consultation, at the conclusion of the discussion, the board chair summarizes the views of the executive directors and this summary is transmitted to the country’s authorities,” notes the organization on its website (http://www.imf.org)
From the Ministry of Economy of Bolivia they indicated that “with regard to the mission of Article IV of the International Monetary Fund (IMF), It is highlighted that Bolivia is a member of that organization international”.
In this context, he confirms that the IMF carries out routine annual visits. “However, Bolivia is the only country that does not have any type of obligation with the IMF. Currently, The country is in the process of evaluation after the last annual visitl, and the results of this mission will be published in a timely manner once the corresponding reviews have been completed,” they add.
