Transparency and Stability in the Gulf of Guinea

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Transparency and Stability in the Gulf of Guinea

• IMF and international efforts

Prepared for the CCA Workshop, Baltimore June 22
, 2005
William Allan
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Topics

• Work of the IMF in the region
• Linkages with other international initiatives
• Some key issues the case of Equatorial Guinea
• The way forward

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The IMFs Role

• Macroeconomic policy dialoguea major focus on
  resource management in the region
  
• Promotion of good practice standards of fiscal,
  data, and monetary transparencyROSCs main
  vehicle
  
• Guide on Resource Revenue Transparency
• Support of EITI

Reports on the observance of standards and codes
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International cooperation
IFI approaches to resource transparency
summarized in Guide on Resource Revenue
Transparency...and continuing links to other
initiatives, such as EITI

• EITI
• clear focus
• achievable in medium-term
• powerful coalition of stakeholders
• establishing criteria for success
• The Guide
• provides broader transparency framework
• practices essential for long-term, sustainable
  management

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The Guide and EITI
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Implementation issues

• Continuing commitment by authorities
• Identification of capacity and governance
  constraints
  
• Realistic action plan
• International technical support
• Effective monitoring of progress

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The case of Equatorial Guinea...

• Following recent Fund and Bank missions...
• A commitment to move forward with EITI and G8
• Fiscal ROSC published and key transparency issues
  identified
  
• Establish budget discipline
• Strengthen reconciliation (including EITI
  templates)
  
• Establish independent audit
• Clarify GEPetrol mandate and strengthen
  governance
  

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The case of Equatorial Guinea...

• Work in progress...
• Detailed action plan and international support
  over long term being prepared
  
• Monitoring of progress to be established
• Bank administrative agreement
• Fund surveillance and ROSC updating
• Other agency reporting

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Elsewhere in the Gulf...

• Continuing policy dialogue throughout the region
• ROSCs likely for Nigeria, Gabon, and being
  discussed for longer term elsewhere
  
• Where ROSCs are undertaken, close cooperation
  with Bank and other stakeholders
  
• Regional issues, such as treatment of surplus
  revenues in CEMAC also to be reviewed

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The Way Forward

• Resources and sustained technical support needed
  to address complex issues over the long term.
  
• Need to recognize different roles of
  stakeholders
  
• IMF dialogue with member countries to promote
  sound macroeconomic policies
  
• World Bank and other agencies sector-specific
  analysis and technical support
  
• Civil society independent oversight role and
  technical support
  
• Continuing the EITI-style coalition
• Regional synergies