The International Monetary Fund thinks the recovery in the economy of Cabo Verde is gaining momentum and that the government there has achieved what the fund calls “impressive fiscal consolidation” in recent years.
The IMF says so in a written statement issued after talks between representatives of the fund and the government.
“In 2017, the economy is estimated to have expanded by 4 percent, supported by the double digit-growth in tourist arrivals, the recovery in credit to the private sector and stronger consumer and business confidence,” the IMF says.
The fund forecasts that economic growth will accelerate to 4.3 percent this year.
The budget deficit shrunk to the equivalent of 3 percent of gross domestic product last year and public-sector debt diminished to the equivalent of 126 percent of GDP, the IMF estimates.
