São Paulo – Mauritania’s Gross Domestic Product (GDP) is expected to grow 4.8% in 2023, a lower rate than the 6.4% recorded in 2022, according to estimates released by the International Monetary Fund (IMF) on Tuesday (19). The projection was made public within the scope of the institution’s board review of arrangements for the North African nation. The IMF also announced new arrangement disbursements for the country. (Pictured above, the port of the capital Nouakchott.)
According to a release signed by the IMF’s deputy managing director, Kenji Okamura, the country’s economic growth remained “strong” in 2023 due to sound policies, donor support, and normalized food and energy prices. Inflation declined, the current account deficit narrowed, international reserves remained comfortable, and fiscal performance remained in line with the authorities’ medium-term goal of declining external debt,” Okamura said. The inflation rate is expected to close the year at 4.5%. In 2022, it reached 11%.
The IMF also said a disciplined fiscal policy to preserve infrastructure investments and social spending would help the country achieve greater and “greener” growth while containing debt.
In the same release, the fund announced the disbursement of two loans to the country. The first, equivalent to USD 21.5 million, is part of the Extended Fund Facility (EFF) and Extended Credit Facility (ECF) arrangements – financing programs for low-income countries with balance of payments issues. The second was a 31-month arrangement equivalent to USD 258 million in the IMF’s Resilience and Sustainability Facility (RSF) – a program dedicated to countries conducting reforms to improve payment balance, including those related to pandemics and climate change.
Translated by Elúsio Brasileiro
