TY - BOOK ID - 84874368 TI - Grenada : First Review Under the Extended Credit Facility Arrangement and Financing Assurances Review. AU - International Monetary Fund. AU - International Monetary Fund PY - 2014 SN - 1498376002 1498396984 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Loans, Foreign KW - Fiscal policy KW - Economic development KW - Structural adjustment (Economic policy) KW - Economic forecasting KW - Economics KW - Forecasting KW - Economic indicators KW - Economic policy KW - Development, Economic KW - Economic growth KW - Growth, Economic KW - Statics and dynamics (Social sciences) KW - Development economics KW - Resource curse KW - Tax policy KW - Taxation KW - Finance, Public KW - Foreign loans KW - International loans KW - Loans, International KW - Loans KW - Conditionality (International relations) KW - Foreign loan insurance KW - Government policy KW - International Monetary Fund KW - Internationaal monetair fonds KW - International monetary fund KW - Grenada KW - Grenada, West Indies KW - Granada KW - Concepción KW - State of Grenada KW - Isle of Spice KW - West Indies (Federation) KW - Windward Islands (Jurisdiction) KW - Economic policy. KW - Economic conditions. KW - Exports and Imports KW - Financial Risk Management KW - Macroeconomics KW - Public Finance KW - Debt KW - Debt Management KW - Sovereign Debt KW - International Lending and Debt Problems KW - Fiscal Policy KW - Taxation, Subsidies, and Revenue: General KW - Finance KW - Public finance & taxation KW - International economics KW - Financial administration & public finance law KW - Public debt KW - Arrears KW - Debt restructuring KW - Debt rescheduling KW - Fiscal consolidation KW - External debt KW - Asset and liability management KW - Revenue administration KW - Debts, External KW - Debts, Public KW - Law and legislation KW - Revenue UR - https://www.unicat.be/uniCat?func=search&query=sysid:84874368 AB - EXECUTIVE SUMMARY Extended Credit Facility (ECF) Arrangement: On June 26th, 2014, the Executive Board approved a three-year arrangement for a total amount equivalent to SDR 14.04 million (about US$21.7 million, 120 percent of quota). The equivalent of SDR 2.04 million was disbursed upon approval of the arrangement. The equivalent of SDR 2 million (about US$3 million) will be made available upon Executive Board completion of the first review. Recent Developments: The economy is slowly recovering from a protracted recession, but domestic demand remains weak. Financial balance sheets are strained by non- performing loans, private credit continues to contract, and inflation has been negative or low. Growth is expected to remain positive but below potential over the next two years, as private and public balance sheets are repaired. Discussions with creditors on a comprehensive restructuring of public debt have intensified. Program Performance: Policy implementation is off to a good start. The fiscal consolidation is proceeding as programmed and all quantitative performance criteria for the first review were met. Progress has also been made on the structural reform agenda, with two structural benchmarks met or expected to be met, and two to be finalized soon. In particular, the authorities overhauled the public financial management framework, prepared an initial strategy to strengthen weak public institutions and are modernizing the investment promotion framework. First Review: No substantive changes were made to the macroeconomic framework. Discussions focused on the fiscal outlook for 2014-15, and on structural reforms going forward. No changes are proposed to the programmed fiscal targets. Proposed new structural conditionality focuses on a continued strengthening of the fiscal policy framework through implementing regulations, debt management and revenue administration reforms, as well as a framework for sustainable use of receipts under the new citizenship-by-investment program. The program is still in early stages, and implementation risks remain. ER -