IMF fiscal affairs team in Bucharest on July 14, review mission on July 26

An International Monetary Fund (IMF) team will come to Bucharest on July 26 for the fifth revision of the stand-by agreement with Romania. The mission, which is expected to end on August 4, will evaluate Romania's economy and discuss the economic objectives with the Romanian authorities. An additional technical assistance team from the IMF’s Fiscal Affairs Department (FAD) will come to Romania on July 14 at the request of the National Agency for Fiscal Administration (ANAF). This team will stay until July 28 to work with ANAF experts and advise on measures to improve revenue collection. The team headed by Thomas Martin Story, FAD Technical Assistance Advisor, will review the status of recommendations made by a similar team last year, as well as advise ANAF on ways to better use information technology. Subject to completion of the fifth review by the IMF’s Executive Board, the sixth disbursement, of about EUR 900 billion will become available after two working days. The IMF visit will take place jointly with teams from the European Commission and the World Bank. The Executive Board of the IMF today completed the fourth review of Romania’s economic performance under a program supported by a 24-month Stand-By Arrangement (SBA). The completion of the review enables the immediate disbursement of about EUR 913.2 million bringing total disbursements under the program to about EUR 10.7 billion. The Executive Board also approved Romania’s request for a waiver of applicability of end-June 2010 performance criteria. “Against the background of the large downturn, the Romanian authorities have made significant strides toward restoring macroeconomic stability and achieving an orderly adjustment of pre-crisis imbalances. They are taking ambitious adjustment measures to contain the weakening of the fiscal position and set the stage for a sustained improvement in public finances,” said John Lipsky, First Deputy Managing Director and Acting Chair of the IMF. The stand-by arrangement was approved in May last year, grating around EUR 13.6 billion for Romania, which is 1,111 percent of Romania’s quota within the fund.