Policy Papers
2012
July 11, 2012
Moldova - Technical Assistance Report on Taking Compliance Management Further
Description: This report concerns the delivery of a tax administration mission to Moldova during February 8 – 21, 2012 by the Fiscal Affairs Department (FAD) of the IMF as a component of implementing FAD's technical assistance strategy for Southeast Europe.
July 10, 2012
2012 Spillover Report - Background Papers
Description: This note conducts a business cycle accounting analysis for systemic economies, with an emphasis on spillover effects from macroeconomic versus financial shocks. The systemic economies under consideration are China, the Euro Area, Japan, the United Kingdom, and the United States. This analysis is based on historical decompositions of output growth derived from the estimated structural macroeconometric model of the world economy, disaggregated into thirty five national economies, documented in Vitek (2012). Within this framework, each economy is represented by interconnected real, external, monetary, fiscal, and financial sectors. Spillovers are transmitted across economies via trade, financial, and commodity price linkages.
July 9, 2012
2012 Spillover Report
Description:
Spillover reports examine the external effects of domestic policies in five systemic economies (S5), comprising China, the Euro Area, Japan, the United Kingdom, and the United States. The report aims to provide an added perspective to the policy line developed in the Article IV discussions with these entities and an input into the Fund’s broader multilateral surveillance.
Topics for this report were chosen based on consultations with officials from the S5 and selected emerging markets (Brazil, the Czech Republic, India, Korea, Mexico, Poland, Russia, Saudi Arabia, Singapore, South Africa, and Turkey). Each participant was asked about policy concerns and spillovers from the S5. To facilitate candor, the report does not attribute views regarding partner countries.
Rather than try to capture the full range of spillovers, this report builds on last year’s findings, focusing on the forward-looking issues raised by partners and on S5 officials’ reactions.
July 5, 2012
Report on the Incidence of Longer-Term Program Engagement
Description: Longer-term program engagement (LTPE) occurs when a member has spent at least seven of the past 10 years under Fund-supported financial arrangements.2 In response to the Executive Board’s request for periodic updates on the incidence of LTPEs, this is the thirteenth such report and provides information through June 27, 2012.
July 2, 2012
Pilot External Sector Report
Description:
This Pilot External Sector Report (ESR) provides a multilaterally consistent analysis of the external positions of major world economies. Following the recommendations of the 2011 Triennial Surveillance Review and the Managing Director’s Statement on Strengthening Surveillance, the focus of the analysis has been broadened beyond exchange rates to detailed examinations of current accounts, reserves, capital flows, and external balance sheets. It draws upon the Research Department’s past and new methods for assessing current accounts and real exchange rates (see Appendix I), and on previous IMF analytical work on exchange rates, capital flows and measures, and reserves adequacy.
Consultation on IMF External Sector Assessments
June 29, 2012
Quota Formula Review - Data Update and Further Considerations - Statistical Appendix
Description: This appendix discusses the required data, the selection of the database, and the derivation of the data series used for the quota calculations.
June 29, 2012
Quota Formula Review - Data Update and Further Considerations - Supplementary Information
Description:
This Annex presents additional staff work on financial interconnectedness. The analysis examines a possible methodology for constructing indicators of financial interconnectedness and related data issues. In addition, it presents some illustrative simulation results.
This annex focuses on financial interconnectedness that takes into account the pattern and size of cross-border financial linkages and potentially provides a more comprehensive picture of a country’s international financial integration.
June 28, 2012
Quota Formula Review - Data Update and Further Considerations
Description: In March 2012, the Executive Board held its first formal discussion on the comprehensive review of the quota formula. This review, to be completed by January 2013, is an important part of the quota and governance reforms agreed in 2010. Directors stressed the importance of agreeing on a quota formula that better reflects members’ relative positions in the global economy for future discussions on the 15th General Review of Quotas. This view was reiterated in April by the IMFC, which looked forward to an agreement by January 2013: "…on a simple and transparent quota formula that better reflects members’ relative positions in the world economy." The IMFC also reaffirmed its commitment to complete the 15th quota review by January 2014. It noted that any realignment is expected to result in increases in the quota shares of dynamic economies in line with their relative positions in the world economy, and hence likely in the share of EMDCs as a whole; and that steps shall be taken to protect the voice and representation of the poorest members. The Board held an informal follow-up meeting on June 13, 2012.
June 26, 2012
Modernizing the Legal Framework for Surveillance - An Integrated Surveillance Decision
Description: This paper proposes a draft Integrated Surveillance Decision (ISD) for adoption. As part of broader efforts to strengthen Fund surveillance, the Fund is modernizing its legal framework to better support operations. In April 2012, the Fund’s Executive Board discussed Modernizing the Legal Framework for Surveillance—Building Blocks Toward an Integrated Surveillance Decision. That paper highlighted key weaknesses in the current legal framework for surveillance and provided proposals for addressing them. Most Directors agreed that introducing a new surveillance decision covering both bilateral and multilateral surveillance would help address these weaknesses. In particular, they agreed with the general proposed approach to fill the gaps in bilateral surveillance through multilateral surveillance.
June 19, 2012
Extension of the Period for Consent to Increase Quotas Under the Fourteenth General Review of Quotas, the 2008 Reform of Quota and Voice, and the Eleventh General Review of Quotas
Description: This paper proposes a six-month extension of the period for consent to increase quotas under the Fourteenth General Review of Quotas.1 The current deadline is due to expire on June 30, 2012;2 however, Resolution No. 66-2 provides that the Executive Board may extend the period for consent as it may determine. An extension under the Board of Governor’s Resolution No. 66-2 will also extend the periods of consent for quota increases under the 2008 Reform of Quota and Voice (Resolution No. 63-2) and the Eleventh General Review of Quotas (Resolution No. 53-2).