International Monetary Fund (IMF) / Press Release

Source: International Monetary Fund (IMF) | Jan 26, 2024

International Monetary Fund (IMF) Staff Completes 2023 Article IV Mission to Djibouti

Staff projects that the recovery will continue in 2024, albeit at a lower pace, and subject to significant risks stemming from the situation in the Red Sea and developments in Ethiopia

Strong rebound in activity in 2023 but regional geopolitical developments pose important risks to continued recovery; Finalizing the preliminary agreement on debt reprofiling with the main creditor would open a window of opportunity for the authorities to develop a sustainable strategy for public finances in the medium term; Concerted action…

Source: International Monetary Fund (IMF) | Jun 15, 2023

International Monetary Fund (IMF) Staff Concludes Visit to Djibouti

Despite the decline in revenues from the slower economic activity and the shortfall of taxes on domestic fuel, the fiscal deficit narrowed to 1.4 percent of GDP in 2022

Economic growth moderated in 2022 amid international trade disruptions and the conflict in Ethiopia; Port activity started to rebound this year on the back of the peace agreement in Ethiopia, and a continued recovery is expected in 2023; Improving revenue collection, enhancing expenditure efficiency, and strengthening governance will help support…

Source: International Monetary Fund (IMF) | Dec 17, 2022

International Monetary Fund (IMF) Staff Completes 2022 Article IV Mission to Djibouti

Urgent action is needed to restore debt sustainability and promote inclusive growth

Large investments over the past decade have driven strong economic growth, but the benefits have not been widely shared and public debt has risen sharply; A series of external shocks have weighed heavily on the economy and added to already significant budget pressures as debt service has tripled; Urgent action…

Source: International Monetary Fund (IMF) | Dec 22, 2021

IMF Staff Completes 2021 Article IV Mission to Djibouti

Djibouti’s large-scale infrastructure investments have driven strong economic growth in recent years, but the benefits have not been widely shared

Large port-related infrastructure investments have boosted growth in recent years, but also increased macroeconomic vulnerabilities while generating few jobs and little tax revenue; The COVID-19 pandemic and the conflict in neighboring Ethiopia have had a significant impact on economic activity and exposed Djibouti’s macroeconomic vulnerabilities; Fiscal policies to raise domestic…

Source: International Monetary Fund (IMF) | May 08, 2020

Coronavirus - Djibouti: IMF Executive Board Approves a US$ 43.4 Million Disbursement to Djibouti Under the Rapid Credit Facility and Debt Relief Under the Catastrophe Containment and Relief Trust to Address the COVID-19 Pandemic

IMF support will provide additional resources for the essential health and other emergency spending, including social safety nets

The IMF Executive Board approved a US$ 43.4 million loan to Djibouti to support the authorities’ response to the COVID-19 crisis, as well as debt relief under the CCRT, which will generate additional resources of US$ 2.3 million over the next five months, and potentially up to US$ 8.2 million…

Source: International Monetary Fund (IMF) | Oct 24, 2019

International Monetary Fund (IMF) Executive Board Concludes 2019 Article IV Consultation with Djibouti

The government has in recent years implemented large-scale investments to develop transport and logistics infrastructures

On September 30, 2019, the Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation [1] with Djibouti. The government has in recent years implemented large-scale investments to develop transport and logistics infrastructures with the aim of positioning Djibouti as a regional trade and logistics hub. Combined with reforms to…

Source: International Monetary Fund (IMF) | Apr 07, 2017

For Djibouti, Infrastructure Investment Paves Way to Regional Hub

Djibouti’s recent investment boom in infrastructure has the potential to transform the economy into a regional hub for East Africa, creating more jobs and helping the country return to a sustainable level of debt, says the IMF in its latest assessment of the economy

"The authorities should advance rapidly with critical reforms aimed at translating investment into strong, inclusive, and job-creating growth," says the IMF’s mission chief for Djibouti Eric Mottu. The small state in the arid Horn of Africa, neighboring land-locked Ethiopia, largely depends on its deep-water harbor. The country is expanding its…