TT begins IMF talks

In a statement yesterday, the Ministry of Finance said the talks start on Monday and conclude on July 21. The ministry said these discussions with the IMF reaffirm TT’s commitment to international surveillance arrangements and provide a platform for Government “to communicate its economic policy agenda to the international community.”

“This consultation takes place annually and allows an assessment to be completed on the economic well-being and outlook of the TT economy,” the ministry stated.

In its 2005 Article IV report on TT which was released on November 30, 2005, the IMF gave the Government high marks for its management of the economy and said there was no evidence of financial mismanagement or squandermania as alleged by the Opposition UNC.

In that report, the IMF said Government must continue to maximise energy sector revenues to stimulate long-term economic growth, press ahead with structural reforms to support private sector growth and create a means of saving energy revenues for a rainy day. On Wednesday, Minister in the Ministry of Finance Conrad Enill said legislation to formalise the Revenue Stabilisation Fund will come before Cabinet next week and be laid in Parliament shortly thereafter. The ministry said the fund stood at $5.484 billion as of December 31, 2005 and continues to increase.

Enill previously indicated that approximately 60 percent of TT’s energy revenues would be placed in the fund while the remaining 40 percent would be used for developmental initiatives.

The IMF’s 2006 Article IV report for TT will be published in November.