What is the IMF doing?
Debt sustainability analyses are at the center of the IMF’s policy discussions and advice. The DSF can guide the elaboration and implementation of sustainable fiscal policies and sound borrowing policies. It can also facilitate communication between creditors and debtors, and help debtors negotiate financing terms that are in line with their future repayment capacity. Efforts are being made to familiarize debtors with the DSF as a policy formulation tool. The IMF—in collaboration with the World Bank—is providing training to country officials and technical assistance to build effective debt management capacities. IMF staff—also in collaboration with World Bank staff—is reaching out to creditors to encourage them to use debt sustainability analyses to inform their lending decisions. Debt sustainability analyses can provide creditors with valuable data as well as a tool for assessing prospective financial difficulties. In this context, the IMF maintains active contacts with a wide range o
