Abstract
2017 Article IV Consultation and Fourth Review Under the Extended Credit Facility Arrangement, and Financing Assurances Review-Press Release; Staff Report; and Statement by the Executive Director for Guinea-Bissau
Fund Relations
(As of September 30, 2017,)
Membership Status
Joined: March 24, 1977; Article VIII
| General Resources Account: | SDR Million | Percent Quota |
| Quota | 28.40 | 100.00 |
| Fund Holdings of currency (Exchange Rate) | 24.45 | 86.09 |
| Reserve Tranche Position | 3.98 | 14.01 |
| SDR Department: | SDR Million | Percent Allocation |
| Net cumulative allocation | 13.60 | 100.00 |
| Holdings | 15.53 | 114.16 |
| Outstanding purchases and Loans: | SDR Million | Percent Quota |
| RCF Loans | 3.55 | 12.50 |
| ECF Arrangements | 16.78 | 59.07 |
| General Resources Account: | SDR Million | Percent Quota |
| Quota | 28.40 | 100.00 |
| Fund Holdings of currency (Exchange Rate) | 24.45 | 86.09 |
| Reserve Tranche Position | 3.98 | 14.01 |
| SDR Department: | SDR Million | Percent Allocation |
| Net cumulative allocation | 13.60 | 100.00 |
| Holdings | 15.53 | 114.16 |
| Outstanding purchases and Loans: | SDR Million | Percent Quota |
| RCF Loans | 3.55 | 12.50 |
| ECF Arrangements | 16.78 | 59.07 |
Latest Financial Arrangements:
Projected Payments to Fund 2/
(SDR Million; based on existing use of resources and present holdings of SDRs):
| Forthcoming | |||||
|---|---|---|---|---|---|
| 2017 | 2018 | 2019 | 2020 | 2021 | |
| Principal | 0.72 | 1.45 | 1.45 | 2.16 | 2.00 |
| Charges/Interest | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total | 0.72 | 1.45 | 1.45 | 2.16 | 2.00 |
| Forthcoming | |||||
|---|---|---|---|---|---|
| 2017 | 2018 | 2019 | 2020 | 2021 | |
| Principal | 0.72 | 1.45 | 1.45 | 2.16 | 2.00 |
| Charges/Interest | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total | 0.72 | 1.45 | 1.45 | 2.16 | 2.00 |
Implementation of HIPC Initiative:
| Enhanced | |||||
| Commitment of HIPC assistance | Framework | ||||
| Decision point date | Dec 2000 | ||||
| Assistance committed by all creditors (US$ Million) 3/ | 421.70 | ||||
| Of which: IMF assistance (US$ million) | 11.91 | ||||
| (SDR equivalent in millions) | 9.20 | ||||
| Completion point date | Dec 2010 | ||||
| Disbursement of IMF assistance (SDR Million) | |||||
| Assistance disbursed to the member | 9.20 | ||||
| Interim assistance | 1.56 | ||||
| Completion point balance | 7.64 | ||||
| Additional disbursement of interest income 4/ | 0.23 | ||||
| Total disbursements | 9.43 | ||||
| Enhanced | |||||
| Commitment of HIPC assistance | Framework | ||||
| Decision point date | Dec 2000 | ||||
| Assistance committed by all creditors (US$ Million) 3/ | 421.70 | ||||
| Of which: IMF assistance (US$ million) | 11.91 | ||||
| (SDR equivalent in millions) | 9.20 | ||||
| Completion point date | Dec 2010 | ||||
| Disbursement of IMF assistance (SDR Million) | |||||
| Assistance disbursed to the member | 9.20 | ||||
| Interim assistance | 1.56 | ||||
| Completion point balance | 7.64 | ||||
| Additional disbursement of interest income 4/ | 0.23 | ||||
| Total disbursements | 9.43 | ||||
Implementation of Multilateral Debt Relief Initiative (MDRI):
| MDRI-eligible debt (SDR Million) 5/ | 0.51 | |||
| Financed by: MDRI Trust | 0.00 | |||
| Remaining HIPC resources | 0.51 | |||
| Debt Relief by Facility (SDR Million) | ||||
| Eligible Debt | ||||
| Delivery Date | GRA | PRGT | Total | |
| December 2010 | N/A | 0.51 | 0.51 | |
| MDRI-eligible debt (SDR Million) 5/ | 0.51 | |||
| Financed by: MDRI Trust | 0.00 | |||
| Remaining HIPC resources | 0.51 | |||
| Debt Relief by Facility (SDR Million) | ||||
| Eligible Debt | ||||
| Delivery Date | GRA | PRGT | Total | |
| December 2010 | N/A | 0.51 | 0.51 | |
Implementation of Post-Catastrophe Debt Relief (PCDR): Not Applicable
Safeguards Assessments:
The Central Bank of West African States (BCEAO) is a common central bank of the countries of the West African Economic and Monetary Union (WAMU). The latest assessment of the BCEAO was completed on December 13, 2013. The assessment found that the bank continued to have a strong control environment and has, with the implementation of the 2010 Institutional Reform of the WAMU, enhanced its governance framework. Specifically, an audit committee was established to oversee the audit and financial reporting processes, transparency has increased with more timely publication of the audited financial statements, and the BCEAO was committed to IFRS implementation by end-2014. The assessment also identified some limitations in the external audit process and recommended that steps be taken to ensure the adequacy of the mechanism through selection of a second experienced audit firm to conduct joint audits. All recommendations from the assessment have been implemented.
Exchange System and Exchange Rate Arrangement
Guinea Bissau accepted the obligations of Article VIII, Sections 2, 3, and 4 with effect from January 1, 1997. It joined the WAEMU in 1997, and has no separate legal tender. The exchange system is free from multiple currency practices and exchange restrictions on the making of payments and transfers for current international transactions. Since January 1, 1999, the CFA franc has been pegged to the Euro at a fixed rate of € l = CFAF 655.957. On October 8, 2016, the rate of the CFA franc in terms of the SDR was CFAF 1009.95 = SDR 1. Effective January 1, 2007, the exchange arrangement of the WAEMU countries has been reclassified to the category of conventional pegged arrangement from the category of exchange arrangement with no separate legal tender. The new classification is based on the behavior of the common currency, whereas the previous classification was based on the lack of a separate legal tender. The new classification thus reflects only a definitional change, and is not based on a judgment that there has been a substantive change in the exchange regime or other policies of the currency union or its members.
Article IV Consultation
Guinea-Bissau is on the 24-month consultation cycle. The last Article IV consultation discussions with Guinea-Bissau were held in Bissau, April 23–May 5, 2015. The staff report was discussed by the Executive Board and the consultation was concluded on July 10, 2015.
Technical Assistance (2008–17)
Technical Assistance (2008–17)
| Department | Type of Assistance | Time of Delivery | Purpose |
|---|---|---|---|
| West AFRITAC | Short-term expert | June 2008 | Customs administration |
| West AFRITAC | Short-term expert | June 2008 | Public expenditure management |
| STA | Expert | June 2008 | Balance of payment statistics |
| West AFRITAC | Short-term expert | July 2008 | Government finance statistics |
| West AFRITAC | Short-term expert | August 2008 | Multisector statistics |
| West AFRITAC | Short-term expert | September 2008 | Real sector statistics |
| West AFRITAC | Short-term expert | May 2009 | National accounts |
| West AFRITAC | Long-term expert | June 2009 | National accounts |
| West AFRITAC | Short-term expert | June 2009 | Public expenditure management |
| West AFRITAC | Short-term expert | June 2009 | Public debt management |
| West AFRITAC | Short-term expert | June 2009 | Bank supervision |
| West AFRITAC | Short-term expert | September 2009 | Customs administration |
| West AFRITAC | Short-term expert | November 2009 | Public debt management |
| West AFRITAC | Short-term expert | November 2009 | Real sector statistics |
| West AFRITAC | Short-term expert | February 2010 | Public debt management |
| West AFRITAC | Short-term expert | February 2010 | Government finance statistics |
| West AFRITAC | Short-term expert | May 2010 | Revenue administration |
| West AFRITAC | Short-term expert | July 2010 | National accounts |
| FAD | Staff | September 2010 | Tax revenue and customs administration |
| West AFRITAC | Short-term expert | September 2010 | Expenditure management |
| West AFRITAC | Short-term expert | September 2010 | National accounts |
| West AFRITAC | Short-term expert | February 2011 | Tax administration |
| West AFRITAC | Short-term expert | February 2011 | Government finance statistics |
| West AFRITAC | Short-term expert | March 2011 | Government finance statistics |
| West AFRITAC | Short-term expert | April 2011 | Public debt management |
| West AFRITAC | Short-term expert | April 2011 | Public financial management, |
| West AFRITAC | Short-term expert | April 2011 | Public financial management |
| West AFRITAC | Short-term expert | April 2011 | Real sector statistics |
| West AFRITAC | Short-term expert | June 2011 | Government finance statistics |
| FAD | Staff | September 2011 | Tax reform strategy, modernization of the DGCI and revenue mobilization |
| FAD | Staff | September 2011 | Customs administration |
| FAD | Short-term expert | October 2011 | Tax administration |
| West AFRITAC | Short-term expert | October 2011 | Modernization of the DGCI |
| West AFRITAC | Short-term expert | October 2011 | Real sector statistics, National accounts |
| West AFRITAC | Short-term expert | January 2012 | Public financial management, Accounting |
| West AFRITAC | Short-term expert | January 2012 | Public financial management |
| FAD | Short-term expert | February 2012 | Tax administration |
| West AFRITAC | Short-term expert | February 2012 | Public financial management |
| West AFRITAC | Short-term expert | February 2012 | Real sector statistics |
| FAD | Short-term expert | March 2012 | Tax administration |
| West AFRITAC | Short-term expert | March 2012 | Customs administration |
| West AFRITAC | Short-term expert | February 2013 | Public financial management |
| FAD | Staff | April 2013 | Revenue administration |
| West AFRITAC | Short-term expert | April 2013 | National accounts |
| West AFRITAC | Short-term expert | April 2013 | Public financial management |
| West AFRITAC | Short-term expert | September 2013 | Customs administration |
| West AFRITAC | Short-term expert | September 2013 | Real sector statistics |
| West AFRITAC | Short-term expert | October 2013 | Government finance statistics |
| West AFRITAC | Short-term expert | March 2014 | Real sector statistics |
| West AFRITAC | Short-term expert | August 2014 | Tax administration |
| FAD | Staff | September 2014 | Public financial management |
| FAD | Staff | September 2014 | Tax administration |
| West AFRITAC | Short-term expert | September 2014 | Customs modernization |
| West AFRITAC | Short-term expert | September 2014 | Government finance statistics |
| West AFRITAC | Short-term expert | September 2014 | Real sector statistics |
| West AFRITAC | Short-term expert | February 2015 | Macroeconomic analyzing and prevision |
| West AFRITAC | Short-term expert | February 2015 | Tax administration |
| MCM | Staff | March 2015 | Banking sector: NPLs |
| West AFRITAC | Short-term expert | March 2015 | Public financial management |
| West AFRITAC | Short-term expert | March 2015 | National accounts |
| FAD | Staff | April 2015 | Revenue administration |
| West AFRITAC | Short-term expert | April 2015 | Real sector statistics |
| FAD | Short-term expert | June 2015 | Tax administration |
| FAD | Short-term expert | July 2015 | Tax administration |
| West AFRITAC | Short-term expert | July 2015 | National Accounts |
| FAD | Short-term expert | September 2015 | Revenue administration |
| FAD | Short-term expert | September 2015 | Tax administration |
| FAD | Short-term expert | October 2015 | Tax administration |
| West AFRITAC | Short-term expert | October 2015 | Government finance statistics |
| FAD | Staff | December 2015 | Tax administration |
| West AFRITAC | Short-term expert | December 2015 | National Accounts |
| FAD | Short-term expert | January 2016 | Tax administration |
| FAD | Short-term expert | March 2016 | Tax administration |
| West AFRITAC | Short-term expert | March 2016 | Customs administration |
| West AFRITAC | Short-term expert | March 2016 | National Accounts |
| FAD | Short-term expert | April 2016 | Customs administration |
| FAD | Short-term expert | April 2016 | Tax administration |
| FAD | Short-term expert | June 2016 | Tax administration |
| West AFRITAC | Short-term expert | July 2016 | Tax administration |
| West AFRITAC | Short-term expert | July 2016 | National Accounts |
| FAD | Staff | September 2016 | Tax administration |
| West AFRITAC | Short-term expert | October 2016 | Government finance statistics |
| West AFRITAC | Short-term expert | November 2016 | National Accounts |
| FAD | Short-term expert | December 2016 | Revenue administration |
| West AFRITAC | Short-term expert | February 2017 | Government finance statistics |
| FAD | Short-term expert | March 2017 | Tax administration |
| FAD | Staff | March 2017 | Tax administration |
| FAD | Staff | April 2017 | Tax administration |
| FAD | Short-term expert | April 2017 | Revenue administration |
| West AFRITAC | Short-term expert | May 2017 | National Accounts |
| West AFRITAC | Short-term expert | August 2017 | National Accounts |
| FAD | Short-term expert | November 2017 | Revenue administration |
Technical Assistance (2008–17)
| Department | Type of Assistance | Time of Delivery | Purpose |
|---|---|---|---|
| West AFRITAC | Short-term expert | June 2008 | Customs administration |
| West AFRITAC | Short-term expert | June 2008 | Public expenditure management |
| STA | Expert | June 2008 | Balance of payment statistics |
| West AFRITAC | Short-term expert | July 2008 | Government finance statistics |
| West AFRITAC | Short-term expert | August 2008 | Multisector statistics |
| West AFRITAC | Short-term expert | September 2008 | Real sector statistics |
| West AFRITAC | Short-term expert | May 2009 | National accounts |
| West AFRITAC | Long-term expert | June 2009 | National accounts |
| West AFRITAC | Short-term expert | June 2009 | Public expenditure management |
| West AFRITAC | Short-term expert | June 2009 | Public debt management |
| West AFRITAC | Short-term expert | June 2009 | Bank supervision |
| West AFRITAC | Short-term expert | September 2009 | Customs administration |
| West AFRITAC | Short-term expert | November 2009 | Public debt management |
| West AFRITAC | Short-term expert | November 2009 | Real sector statistics |
| West AFRITAC | Short-term expert | February 2010 | Public debt management |
| West AFRITAC | Short-term expert | February 2010 | Government finance statistics |
| West AFRITAC | Short-term expert | May 2010 | Revenue administration |
| West AFRITAC | Short-term expert | July 2010 | National accounts |
| FAD | Staff | September 2010 | Tax revenue and customs administration |
| West AFRITAC | Short-term expert | September 2010 | Expenditure management |
| West AFRITAC | Short-term expert | September 2010 | National accounts |
| West AFRITAC | Short-term expert | February 2011 | Tax administration |
| West AFRITAC | Short-term expert | February 2011 | Government finance statistics |
| West AFRITAC | Short-term expert | March 2011 | Government finance statistics |
| West AFRITAC | Short-term expert | April 2011 | Public debt management |
| West AFRITAC | Short-term expert | April 2011 | Public financial management, |
| West AFRITAC | Short-term expert | April 2011 | Public financial management |
| West AFRITAC | Short-term expert | April 2011 | Real sector statistics |
| West AFRITAC | Short-term expert | June 2011 | Government finance statistics |
| FAD | Staff | September 2011 | Tax reform strategy, modernization of the DGCI and revenue mobilization |
| FAD | Staff | September 2011 | Customs administration |
| FAD | Short-term expert | October 2011 | Tax administration |
| West AFRITAC | Short-term expert | October 2011 | Modernization of the DGCI |
| West AFRITAC | Short-term expert | October 2011 | Real sector statistics, National accounts |
| West AFRITAC | Short-term expert | January 2012 | Public financial management, Accounting |
| West AFRITAC | Short-term expert | January 2012 | Public financial management |
| FAD | Short-term expert | February 2012 | Tax administration |
| West AFRITAC | Short-term expert | February 2012 | Public financial management |
| West AFRITAC | Short-term expert | February 2012 | Real sector statistics |
| FAD | Short-term expert | March 2012 | Tax administration |
| West AFRITAC | Short-term expert | March 2012 | Customs administration |
| West AFRITAC | Short-term expert | February 2013 | Public financial management |
| FAD | Staff | April 2013 | Revenue administration |
| West AFRITAC | Short-term expert | April 2013 | National accounts |
| West AFRITAC | Short-term expert | April 2013 | Public financial management |
| West AFRITAC | Short-term expert | September 2013 | Customs administration |
| West AFRITAC | Short-term expert | September 2013 | Real sector statistics |
| West AFRITAC | Short-term expert | October 2013 | Government finance statistics |
| West AFRITAC | Short-term expert | March 2014 | Real sector statistics |
| West AFRITAC | Short-term expert | August 2014 | Tax administration |
| FAD | Staff | September 2014 | Public financial management |
| FAD | Staff | September 2014 | Tax administration |
| West AFRITAC | Short-term expert | September 2014 | Customs modernization |
| West AFRITAC | Short-term expert | September 2014 | Government finance statistics |
| West AFRITAC | Short-term expert | September 2014 | Real sector statistics |
| West AFRITAC | Short-term expert | February 2015 | Macroeconomic analyzing and prevision |
| West AFRITAC | Short-term expert | February 2015 | Tax administration |
| MCM | Staff | March 2015 | Banking sector: NPLs |
| West AFRITAC | Short-term expert | March 2015 | Public financial management |
| West AFRITAC | Short-term expert | March 2015 | National accounts |
| FAD | Staff | April 2015 | Revenue administration |
| West AFRITAC | Short-term expert | April 2015 | Real sector statistics |
| FAD | Short-term expert | June 2015 | Tax administration |
| FAD | Short-term expert | July 2015 | Tax administration |
| West AFRITAC | Short-term expert | July 2015 | National Accounts |
| FAD | Short-term expert | September 2015 | Revenue administration |
| FAD | Short-term expert | September 2015 | Tax administration |
| FAD | Short-term expert | October 2015 | Tax administration |
| West AFRITAC | Short-term expert | October 2015 | Government finance statistics |
| FAD | Staff | December 2015 | Tax administration |
| West AFRITAC | Short-term expert | December 2015 | National Accounts |
| FAD | Short-term expert | January 2016 | Tax administration |
| FAD | Short-term expert | March 2016 | Tax administration |
| West AFRITAC | Short-term expert | March 2016 | Customs administration |
| West AFRITAC | Short-term expert | March 2016 | National Accounts |
| FAD | Short-term expert | April 2016 | Customs administration |
| FAD | Short-term expert | April 2016 | Tax administration |
| FAD | Short-term expert | June 2016 | Tax administration |
| West AFRITAC | Short-term expert | July 2016 | Tax administration |
| West AFRITAC | Short-term expert | July 2016 | National Accounts |
| FAD | Staff | September 2016 | Tax administration |
| West AFRITAC | Short-term expert | October 2016 | Government finance statistics |
| West AFRITAC | Short-term expert | November 2016 | National Accounts |
| FAD | Short-term expert | December 2016 | Revenue administration |
| West AFRITAC | Short-term expert | February 2017 | Government finance statistics |
| FAD | Short-term expert | March 2017 | Tax administration |
| FAD | Staff | March 2017 | Tax administration |
| FAD | Staff | April 2017 | Tax administration |
| FAD | Short-term expert | April 2017 | Revenue administration |
| West AFRITAC | Short-term expert | May 2017 | National Accounts |
| West AFRITAC | Short-term expert | August 2017 | National Accounts |
| FAD | Short-term expert | November 2017 | Revenue administration |
Resident Representative
The Resident Representative in Senegal also covered Guinea-Bissau from September 1997 through July 2007. The Resident Representative Office in Guinea-Bissau was reopened in June 2011 and Mr. Torrez was the Resident Representative until end-May 2015. Mr. Melhado assumed the Resident Representative position in August 2015.
Guinea-Bissau: Arrangements with the IMF, 1984–2017
Guinea-Bissau: Arrangements with the IMF, 1984–2017
| Arrangement | Date Approved | Amount Approved | Remarks |
|---|---|---|---|
| First credit tranche purchase | August 27, 1984 | SDR 1.875 million | |
| Structural Adjustment Facility | October 14, 1987 | SDR 5.25 million | 2nd annual arrangement delayed; no 3rd annual arrangement. |
| Enhanced Structural Adjustment Facility | January 18, 1995 | SDR 10.5 million | Arrangement increased by SDR 1.05 million (10 percent of quota) with 3rd annual arrangement. |
| Emergency post-conflict assistance | September 14, 1999 | SDR 2.13 million | |
| Emergency post-conflict assistance | January 7, 2000 | SDR 1.42 million | |
| Poverty Reduction and Growth Facility | December 15, 2000 | SDR 14.2 million | PRGF elapsed without completion of a review. |
| Emergency post-conflict assistance | January 10, 2008 | SDR 1.77 million | |
| Emergency post-conflict assistance | May 20, 2009 | SDR 1.77 million | |
| Extended Credit Facility | May 7, 2010 | SDR 22.365 million | The arrangement elapsed on May 6, 2013. |
| Rapid Credit Facility | November 3, 2014 | SDR 3.55 million | |
| Extended Credit Facility | July 10, 2015 | SDR 17.04 million |
Guinea-Bissau: Arrangements with the IMF, 1984–2017
| Arrangement | Date Approved | Amount Approved | Remarks |
|---|---|---|---|
| First credit tranche purchase | August 27, 1984 | SDR 1.875 million | |
| Structural Adjustment Facility | October 14, 1987 | SDR 5.25 million | 2nd annual arrangement delayed; no 3rd annual arrangement. |
| Enhanced Structural Adjustment Facility | January 18, 1995 | SDR 10.5 million | Arrangement increased by SDR 1.05 million (10 percent of quota) with 3rd annual arrangement. |
| Emergency post-conflict assistance | September 14, 1999 | SDR 2.13 million | |
| Emergency post-conflict assistance | January 7, 2000 | SDR 1.42 million | |
| Poverty Reduction and Growth Facility | December 15, 2000 | SDR 14.2 million | PRGF elapsed without completion of a review. |
| Emergency post-conflict assistance | January 10, 2008 | SDR 1.77 million | |
| Emergency post-conflict assistance | May 20, 2009 | SDR 1.77 million | |
| Extended Credit Facility | May 7, 2010 | SDR 22.365 million | The arrangement elapsed on May 6, 2013. |
| Rapid Credit Facility | November 3, 2014 | SDR 3.55 million | |
| Extended Credit Facility | July 10, 2015 | SDR 17.04 million |
World Bank Group Relations
1. Guinea-Bissau joined the World Bank in 1977, three years after independence. The first operation was approved in 1979 for a road construction and restoration project. Since then, the International Development Association (IDA) has approved 43 projects for Guinea-Bissau amounting to about US$511 million. World Bank engagement in Guinea-Bissau for fiscal years 2015-2016 was based on a Country Engagement Note (CEN) approved in March 2015.
2. The World Bank Group’s Country Partnership framework for Guinea-Bissau, covering FY2018-21, is the first full country strategy since 1997. The focus areas of the CPF program are increased access to quality basic services and expanded economic opportunities and enhanced resilience to shocks. The selective focus is expected to increase the chances of supporting transformational changes within the country. Gender and governance will permeate each objective as cross-cutting themes. The CPF, approved by the WB Board on June 13, 2017, has five objectives (see table below).
| Focus Area I: Increased Access to Quality Basic Services | Focus Area II: Expanded Economic Opportunities and Enhanced Resilience |
|---|---|
|
|
| Focus Area I: Increased Access to Quality Basic Services | Focus Area II: Expanded Economic Opportunities and Enhanced Resilience |
|---|---|
|
|
3. Given the political and institutional fragility, the WBG will address implementation challenges in innovative and strategic ways. First, it will focus on improving services and economic opportunities in areas outside the capital (rural areas and secondary cities), while solidifying existing WBG financed investments in the capital city, Bissau. Second, moving away from emergency support, WBG will seek to create incentives for change using result-based instruments to strengthen core-state sector functions, such as human resources (HR) policies, financial management, regulation and quality assurance. Third, it will also engage and empower communities and citizens to directly strengthen bottom-up demand and accountability mechanisms for better services. Finally, WBG will have a stronger in-country presence allowing for more effective WBG collaboration and development partner coordination, including with United Nations (UN) agencies.
4. Under IDA 18 (the 18th replenishment of International Development Association (IDA) resources for FY2018–21) the national allocation for Guinea-Bissau is more than double compared to IDA 17, with an estimated $87.5 million. The CPF also plans to make selective use of IDA18 facilities with a focus on the Regional Integration Window (RIW) and potentially the Private Sector Window (PSW), as well as expand resources through strategic trust funds and partnerships.
Lending Program
5. The current active World Bank portfolio totals US$275.00 million and is comprised of four national IDA operations for a net committed amount of US$90.61 million (of which US$28.43 million remain undisbursed), four regional IDA operations (US$181 million), and one trust fund operation (US$3.5 million). It is a relatively young portfolio with the average age for national project of three years and two years for regional project. In terms of sectoral focus, the portfolio mainly encompasses Energy and Water (49 percent), Telecom Infrastructure (17 percent), Social Protection and Labor (15 percent), Trade and Competitiveness (12.5 percent) and Governance (7.62 percent). The World Bank is also supporting non-lending technical assistance activities in Guinea-Bissau, including through a Public Expenditure Review (PER) and Public Expenditure Management and Financial Accountability Review (PEMFAR). The Bank released its first Systematic Country Diagnostic (SCD) report for Guinea Bissau in 2016.
6. IFC’s activities have focused on providing advisory services to support access to finance and to improving the investment climate, jointly with the World Bank, especially on enhancing the cashew-value chain. IFC has no investment exposure in Guinea-Bissau but is currently considering an agribusiness investment, which would be the first investment operation since 1997. MIGA has a single guarantee exposure in the telecommunications sector at US$9.1 million.
African Development Bank Group Relations
1. From the approval of the first project to the country in 1976, to May 2015, the African Development Bank (AfDB) had approved 50 operations for Guinea-Bissau, for a net commitment of UA 237.6 million (about CFAF 195.6 billion). 33.3 percent of these operations have been in the infrastructure sector, 26.4 percent for social, 22.9 percent in the multi-sector, 15.4 percent in agriculture and 2.0 in finance. As of September 2016, the active portfolio comprises nine ongoing national projects representing a total net amount of UA 40.37 million, and a disbursement rate of 23 percent.
Lending Program
2. During the period January 2008–April 2014, AfDB approved an interim HIPC debt release (US$17.48 million), a fragile State Facility grant (UA 2 million), a fish sector support grant (UA 2 million), a health sector grant (UA 6 million), an emergency support grant to cholera (US$500,000), an emergency support grant to cholera (US$ 999,750), a capacity building grant to public administration (UA 7.80 million), a technical assistance and capacity building grant to public administration (UA 0.66 million) and an emergency budget support to budgetary reforms (UA 5.7 million).
3. In May 2015, the AfDB approved a new budget support operation to the tune of UA 5 million (CFAF 4.1 million). The program is built around two components: (i) the strengthening of transparency, internal and external control of budget execution and the fight against corruption, and (ii) the strengthening of budget management. It has been complemented by the approval of an institutional support project of UA 5 million (CFAF 4.1 billion) targeting capacity building in public financial management as well as the strengthening of the justice sector.
4. In the non-governance sector, additional approvals in 2015 are an energy project to rehabilitate the electricity network of Bissau for UA 13.3 million (CFAF 10.9 billion), a contribution to the OMVG transmission line for UA 4.5 million (CFAF 3.7 billion). In September 2016, an emergency assistance to support Guinea-Bissau preparedness and response plan to fight the Zika virus outbreak for US$1 million has been approved and a UA 3.8 million (CFAF 3.2 billion) investment project in agriculture sector (rice value chains) is under preparation.
Non-Lending Program
5. In January 2015, the AfDB approved its 2015–19 country strategy and Country Portfolio Performance Assessment. The approved strategy is based on two pillars, namely (i) strengthening of governance and the foundations of the State; and (ii) development of infrastructure that will foster inclusive growth. A Regional Integration Strategy Paper for West Africa for 2011–15 was released in March 2011. Recent economic and sector studies include a review of the transport sector, the agriculture sector and a country gender profile released in 2015, as well as the preparation of policy papers on Public-Private-Partnerships and on the management of natural resources.
Statistical Issues
| I. Assessment of Data Adequacy for Surveillance | |
| General: Data have serious shortcomings that significantly hamper surveillance. Shortcomings are most serious in the national accounts and balance of payments. | |
| National Accounts: The authorities compile and publish annual GDP series using an outdated base year (2005) and inadequate source data. National Accounts data are not timely as the latest estimate of GDP as published by the National Statistical Office (NSO) is for calendar year 2013. Estimates for 2014, 2015, and 2016 are, however, expected to be published shortly. Quarterly estimates of GDP are not compiled. The authorities expect to release a rebased GDP time series in March 2018. | |
| Price Statistics: Since July 2002, a harmonized consumer price index (CPI) has been compiled, based on the same methodology as used in other West African Economic and Monetary Union (WAEMU) countries. The CPI was updated in 2010 (new base year 2008, improvement in compilation techniques, extended coverage of products and increase in outlets). Price data are collected only for the capital city, Bissau. Work is now underway to update the base year to 2014 and to extend the coverage to the whole country. | |
| Government Finance Statistics (GFS): Under the West AFRITAC work program, GFS technical assistance missions usually visit Guinea-Bissau once a year. The last mission of February 2017 stressed the need for the Ministry of Economy and Finance (MEF) to keep on with the implementation of the recommendations of previous GFS missions. | |
| Monetary and Financial Statistics (MFS): MFS, as compiled and disseminated by the regional Central Bank of West African States (BCEAO), are broadly adequate. In August 2016, the BCEAO completed the migration of Guinea-Bissau’s MFS to the standardized report forms (SRFs) for the central bank and other depository corporations. | |
| Financial Sector Surveillance: The BCEAO has submitted financial soundness indicators (FSIs) for deposit takers to STA for review, and a 2018 mission will finalize FSI reporting. | |
| External Sector Statistics (ESS): Guinea-Bissau moved to BPM6 methodology for both balance of payments and international investment position (IIP) statistics in September 2013, reviewing back series from 2007. Balance of payments data are weak, mostly due to substantial unrecorded trade and inconsistencies between financial account transactions and the position data in the IIP. The large number of small-scale operators, a large informal sector, and institutional weaknesses hamper the data collection. While no external debt data are published by the MEF, stock and flow data are regularly produced and transmitted to the BCEAO. Guinea-Bissau also participates in the Coordinated Direct Investment Survey (CDIS) Under the recently launched Japan funded three-year project in 17 francophone countries in West and Central Africa, Guinea-Bissau will receive technical assistance missions for improving its ESS. | |
| II. Data Standards and Quality | |
| Guinea-Bissau has participated in the Enhanced General Data Dissemination System (e-GDDS) since November 2001. Metadata for all data categories and plans for improvement need to be updated. | No data ROSC is available. |
| III. Reporting to STA | |
| Currently no monthly, quarterly or annual government finance data are submitted for reporting in the International Financial Statistics (IFS) or the Government Finance Statistics Yearbook. Monthly data on monetary statistics are reported on a regular basis for publication in the IFS with some delays. Guinea-Bissau reports balance of payments, and IIP statistics to STA on an annual basis, but with delays. CDIS data for inward direct investment position have been reported for end-December 2011. | |
| I. Assessment of Data Adequacy for Surveillance | |
| General: Data have serious shortcomings that significantly hamper surveillance. Shortcomings are most serious in the national accounts and balance of payments. | |
| National Accounts: The authorities compile and publish annual GDP series using an outdated base year (2005) and inadequate source data. National Accounts data are not timely as the latest estimate of GDP as published by the National Statistical Office (NSO) is for calendar year 2013. Estimates for 2014, 2015, and 2016 are, however, expected to be published shortly. Quarterly estimates of GDP are not compiled. The authorities expect to release a rebased GDP time series in March 2018. | |
| Price Statistics: Since July 2002, a harmonized consumer price index (CPI) has been compiled, based on the same methodology as used in other West African Economic and Monetary Union (WAEMU) countries. The CPI was updated in 2010 (new base year 2008, improvement in compilation techniques, extended coverage of products and increase in outlets). Price data are collected only for the capital city, Bissau. Work is now underway to update the base year to 2014 and to extend the coverage to the whole country. | |
| Government Finance Statistics (GFS): Under the West AFRITAC work program, GFS technical assistance missions usually visit Guinea-Bissau once a year. The last mission of February 2017 stressed the need for the Ministry of Economy and Finance (MEF) to keep on with the implementation of the recommendations of previous GFS missions. | |
| Monetary and Financial Statistics (MFS): MFS, as compiled and disseminated by the regional Central Bank of West African States (BCEAO), are broadly adequate. In August 2016, the BCEAO completed the migration of Guinea-Bissau’s MFS to the standardized report forms (SRFs) for the central bank and other depository corporations. | |
| Financial Sector Surveillance: The BCEAO has submitted financial soundness indicators (FSIs) for deposit takers to STA for review, and a 2018 mission will finalize FSI reporting. | |
| External Sector Statistics (ESS): Guinea-Bissau moved to BPM6 methodology for both balance of payments and international investment position (IIP) statistics in September 2013, reviewing back series from 2007. Balance of payments data are weak, mostly due to substantial unrecorded trade and inconsistencies between financial account transactions and the position data in the IIP. The large number of small-scale operators, a large informal sector, and institutional weaknesses hamper the data collection. While no external debt data are published by the MEF, stock and flow data are regularly produced and transmitted to the BCEAO. Guinea-Bissau also participates in the Coordinated Direct Investment Survey (CDIS) Under the recently launched Japan funded three-year project in 17 francophone countries in West and Central Africa, Guinea-Bissau will receive technical assistance missions for improving its ESS. | |
| II. Data Standards and Quality | |
| Guinea-Bissau has participated in the Enhanced General Data Dissemination System (e-GDDS) since November 2001. Metadata for all data categories and plans for improvement need to be updated. | No data ROSC is available. |
| III. Reporting to STA | |
| Currently no monthly, quarterly or annual government finance data are submitted for reporting in the International Financial Statistics (IFS) or the Government Finance Statistics Yearbook. Monthly data on monetary statistics are reported on a regular basis for publication in the IFS with some delays. Guinea-Bissau reports balance of payments, and IIP statistics to STA on an annual basis, but with delays. CDIS data for inward direct investment position have been reported for end-December 2011. | |
Guinea-Bissau: Table of Common Indicators Required for Surveillance
Any reserve assets that are pledged or otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
Daily (D), Weekly (W), Monthly (M), Quarterly (Q), Annually (A), Irregular (I); Not Available (NA)
Guinea-Bissau: Table of Common Indicators Required for Surveillance
| Date of latest observation | Date received | Frequency of data7 | Frequency of reporting7 | Frequency of publication7 | |
|---|---|---|---|---|---|
| Exchange Rates | D | D | D | ||
| International Reserve Assets and Reserve Liabilities of the Monetary Authorities1 | June 2017 | September 2017 | M | M | M |
| Reserve/Base Money | June 2017 | September 2017 | M | M | M |
| Broad Money | June 2017 | September 2017 | M | M | M |
| Central Bank Balance Sheet | June 2017 | September 2017 | M | M | M |
| Consolidated Balance Sheet of the Banking System | June 2017 | September 2017 | M | M | M |
| Interest Rates2 | June 2017 | September 2017 | M | M | M |
| Consumer Price Index | August 2017 | October 2017 | M | M | M |
| Revenue, Expenditure, Balance and Composition of Financing3 – General Government4 | |||||
| Revenue, Expenditure, Balance and Composition of Financing3 – Central Government | June 2017 | August 2017 | M | Q | Q |
| Stocks of Central Government and Central Government-Guaranteed Debt5 | 2016 | August 2017 | M | Q | Q |
| External Current Account Balance | 2016 | May 2017 | A | I | I |
| Exports and Imports of Goods and Services | 2016 | May 2017 | A | I | I |
| GDP | 2016 | September 2017 | A | I | I |
| Gross External Debt | June 2017 | August 2017 | M | Q | Q |
| International Investment Position6 | 2015 | June 2017 | A | I | I |
Any reserve assets that are pledged or otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
Daily (D), Weekly (W), Monthly (M), Quarterly (Q), Annually (A), Irregular (I); Not Available (NA)
Guinea-Bissau: Table of Common Indicators Required for Surveillance
| Date of latest observation | Date received | Frequency of data7 | Frequency of reporting7 | Frequency of publication7 | |
|---|---|---|---|---|---|
| Exchange Rates | D | D | D | ||
| International Reserve Assets and Reserve Liabilities of the Monetary Authorities1 | June 2017 | September 2017 | M | M | M |
| Reserve/Base Money | June 2017 | September 2017 | M | M | M |
| Broad Money | June 2017 | September 2017 | M | M | M |
| Central Bank Balance Sheet | June 2017 | September 2017 | M | M | M |
| Consolidated Balance Sheet of the Banking System | June 2017 | September 2017 | M | M | M |
| Interest Rates2 | June 2017 | September 2017 | M | M | M |
| Consumer Price Index | August 2017 | October 2017 | M | M | M |
| Revenue, Expenditure, Balance and Composition of Financing3 – General Government4 | |||||
| Revenue, Expenditure, Balance and Composition of Financing3 – Central Government | June 2017 | August 2017 | M | Q | Q |
| Stocks of Central Government and Central Government-Guaranteed Debt5 | 2016 | August 2017 | M | Q | Q |
| External Current Account Balance | 2016 | May 2017 | A | I | I |
| Exports and Imports of Goods and Services | 2016 | May 2017 | A | I | I |
| GDP | 2016 | September 2017 | A | I | I |
| Gross External Debt | June 2017 | August 2017 | M | Q | Q |
| International Investment Position6 | 2015 | June 2017 | A | I | I |
Any reserve assets that are pledged or otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
Daily (D), Weekly (W), Monthly (M), Quarterly (Q), Annually (A), Irregular (I); Not Available (NA)
Formerly PRGF.
When a member has overdue financial obligations outstanding for more than three months, the amount of such arrears will be shown in this section.
Assistance committed under the original framework is expressed in net present value (NPV) terms at the completion point, and assistance committed under the enhanced framework is expressed in NPV terms at the decision point. Hence these two amounts cannot be added.
Under the enhanced framework, an additional disbursement is made at the completion point corresponding to interest income earned on the amount committed at the decision point but not disbursed during the interim period.
The MDRI provides 100 percent debt relief to eligible member countries that qualified for the assistance. Grant assistance from the MDRI Trust and HIPC resources provide debt relief to cover the full stock of debt owed to the Fund as of end-2004 that remains outstanding at the time the member qualifies for such debt relief.