Designing Monetary and Fiscal Policy in Low-income Countries

Download or read book Designing Monetary and Fiscal Policy in Low-income Countries written by Abebe Aemro Selassie and published by IMF. This book was released on 2006 with total page 49 pages. Available in PDF, EPUB and Kindle. Book excerpt: Macroeconomic outcomes in low-income countries (LICs) have improved markedly in recent years, but important questions remain regarding possible adjustments in the design of IMF-supported programmes. This paper draws on the experience of LICs that have successfully addressed the most apparent domestic macroeconomic imbalances, as well as a literature review. Although it focuses on a group of 15 mature stablisers, the paper also considers issues of relevance to other Poverty Reduction and Growth Facility (PRGF) supported programmes, including increasing capacity to absorb foreign aid and improving efficiency of public spending.