Country Reports
2025
April 22, 2025
Republic of Azerbaijan: 2025 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of Azerbaijan
Description: Growth accelerated in 2024, while inflation remained within the target band. Azerbaijan’s main challenges are to maintain the fiscal adjustment momentum to build fiscal buffers for intergenerational equity and resilience against shocks and to accelerate private sector-led diversification, considering dwindling hydrocarbon reserves and the global energy transition.
April 22, 2025
Republic of Azerbaijan: Financial Sector Assessment Program-Financial System Stability Assessment
Description: Azerbaijan’s economy has recovered from two downturns prompted by the collapse of global oil prices in 2015 and COVID-19 pandemic in 2020. Since the previous FSAP in 2015, the financial soundness of its bank-dominated financial sector has improved significantly, enhancing its resilience amid recent global uncertainties. Indeed, the transfer of financial sector regulation back to the Central Bank of Azerbaijan (CBA) in 2019 has revitalized the regulatory reform agenda. Nonperforming loans have declined, and banks’ profitability has surpassed pre-pandemic levels. With government support, the largest state-owned bank—International Bank of Azerbaijan—has recovered from its 2015 distress. Nonbank financial intermediation (⅓ of financial system assets) is largely dominated by state-owned specialized institutions.
April 15, 2025
Suriname: Ninth Review Under the Extended Arrangement Under the Extended Fund Facility, Request for a Waiver of Nonobservance of Performance Criterion, and Financing Assurances Review-Press Release; Staff Report; and Statement by the Executive Director for Suriname
Description: The economy is growing, inflation is receding, donor support is increasing, public debt is declining, and credit rating agencies have upgraded Suriname’s sovereign debt rating. The oil production from block 58 is set to begin in 2028 and the authorities are putting in place the institutions needed to transparently manage this resource windfall. Upon completion of this ninth review—the first ever IMF-supported program that Suriname will have completed—SRD 46.8 million (about USD 61.2 million) would be made available.
April 14, 2025
Antigua and Barbuda: 2025 Article IV Consultation-Press Release; and Staff Report
Description: Recent developments. Antigua and Barbuda’s economy continues its expansion, driven by strong tourism activity and one-off events boosting growth in 2024. Inflation also picked up in 2024, departing from regional trends, following higher costs for specific items, notably communication, as well as increases in indirect taxes. With nominal GDP recovering, the public debt-to-GDP ratio has eased from 101 percent in 2020 to an estimated 67 percent in 2024. However, domestic and external arrears are significant, albeit with domestic arrears uncertain in size, and gross financing needs remain high. The financial sector remains stable and liquid.
April 11, 2025
Argentina: Request for an Extended Arrangement Under the Extended Fund Facility-Press Release; Staff Report; Staff Supplement; and Statement by the Executive Director for Argentina
Description: Inheriting an economy on the verge of a balance of payment crisis, the Milei administration implemented a stabilization plan centered on a strong fiscal anchor, an initial large step devaluation (followed by a crawling peg), and an ambitious deregulation agenda. This has yielded a rapid disinflation, the first primary surplus in almost two decades, an initial turnaround in reserves, and a strengthened balance sheet of the central bank, all of which contributed to sharply lower sovereign spreads. Despite the adjustment, the economy and real wages have been recovering since mid-2024, supporting rapid improvements in social indicators. Nevertheless, Argentina’s vulnerabilities and challenges are substantial, as external buffers remain very weak, inflation is still elevated, and many structural impediments to investment and employment persist. Recognizing remaining challenges and sharply rising global risks, the authorities are requesting medium-term balance of payments assistance under a new Extended Fund Facility (EFF) arrangement to address Argentina’s weak balance of payments position, maintain external and internal stability and create conditions for stronger and more sustainable growth.
April 11, 2025
Principality of Andorra: 2025 Article IV Consultation-Press Release; and Staff Report
Description: Andorra is a small economy exposed to external shocks and volatility. Following the pandemic, the authorities consolidated the country’s macro-financial framework and reinforced buffers. However, Andorra’s real GDP per capita—while high in absolute terms—has remained flat over the last 50 years, with growth largely driven by population increases. As climate change challenges an economic model dependent on winter tourism and significant population aging builds up contingent liabilities, ambitious structural reforms are needed. A recently negotiated EU Association Agreement (EUAA), if approved by referendum, could provide the needed momentum for reforms.
April 11, 2025
Morocco: Request for an Arrangement Under the Flexible Credit Line and Cancellation of Current Arrangement-Press Release; Staff Report; and Statement by the Executive Director for Morocco
Description: The Moroccan economy showed remarkable resilience to recent shocks, although a succession of droughts severely curtailed agricultural production and pushed unemployment to historical highs. Morocco's very strong institutional and policy framework has been effective in addressing these shocks, with well-calibrated fiscal, monetary, and financial policies. The authorities continue to implement their ambitious structural reform agenda, towards a more resilient, greener, inclusive, private sector-led growth, and further strengthening their institutional policy frameworks. The authorities remain fully committed to maintaining very strong policies and policy frameworks.
April 8, 2025
Slovak Republic: Financial Sector Assessment Program-Technical Note on Systemic Risk Analysis and Stress Testing
Description: The Financial Sector Assessment Program (FSAP) for the Slovak Republic implemented an extensive analysis of systemic risks and assessed the resilience of the banking sector. It identified key vulnerabilities and evaluated sectoral exposures, assessed corporate and household risks, and banking sector solvency and liquidity risks, and explored interconnectedness and contagion risks.
April 8, 2025
Slovak Republic: Financial Sector Assessment Program-Technical Note on Regulation and Supervision of Less Significant Institutions
Description: The FSAP conducted a targeted assessment of the effectiveness of banking regulation and supervision in the Slovak Republic focusing on less significant institutions (LSIs). In scoping this review, the 2007 FSAP recommendations as well as relevant Euro-Area (EA) and global regulatory and market developments were taken into account. The review focused on selected areas including the supervisory independence and powers of Národná banka Slovenska (NBS), corrective and sanctioning measures, its supervisory strategy and approach for LSIs, oversight of key risks including credit, liquidity, interest rate risk in the banking book (IRRBB), operational/IT and climate related financial risks, governance and the strength of the LSI’s risk management policies and practices. The assessment also reviewed NBS’ approach to supervising AML/CTF risk for banks.