The State Secretariat for Economic Affairs (SECO) has contributed CHF7 million ($7.2 million) to the International Monetary Fund’s Managing Natural Resource Wealth Programme for 2016-2022. This will support macroeconomic management in resource-rich developing countries.
On Tuesday Carla Grasso, deputy managing director of the IMF, met representatives from SECO and the State Secretariat for International Financial Matters (SIF). At the heart of the discussion was Switzerland’s close cooperation with the IMF, including in the area of capacity development in developing countries, SECO said in a statement.
During the meeting, Grasso and SECO’s head of economic cooperation and development, Raymund Furrer, signed an agreement to continue Switzerland’s support for phase 2 of the Managing Natural Resource Wealth Programme.
The IMF and SECO have a close partnership in strengthening macroeconomic management in developing countries, the statement said. The contribution to the MNRW Programme adds to SECO’s support to other IMF capacity development initiatives.
SECO also supports the IMF’s Revenue Mobilization Programme, the Tax Diagnostic Assessment Tool (TADAT), the Regional Technical Assistance Centers (RTACs) and a bilateral subaccount to provided targeted support for SECO priority countries.
The IMF launched the Managing Natural Resource Wealth Programme in 2011 with a budget of $25 million (CHF24.3 million). The objective of the programme is to assist low-income and lower-middle-income countries endowed with oil, gas, and minerals to craft appropriate economic policy responses.
During the first phase, the IMF implemented 34 projects in 19 countries, eight research projects and five conferences/workshops. Among other results, the programme contributed to reforming extractive industry fiscal regimes in nine countries.
Following a successful first phase, the IMF launched the second phase of the programme in June 2016 with a budget of $30 million.
swissinfo.ch and agencies