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Tonga: 2010 Article IV Consultation: Staff Report, Staff Supplement, and Public Information Notice on the Executive Board Discussion

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  • International Monetary Fund

Abstract

Tonga’s high debt and the apparent ineffectiveness of the monetary transmission mechanism constrain the authorities’ ability to support growth. In the near term, the strength of the global recovery is by no means assured, and there are multiple risks that could weaken prospects in both Europe and the United States. A further rise in world commodity and food prices would also hit Tonga hard, feeding through to inflation, growth, and the current account deficit. Tonga’s high public debt now poses a major risk to economic prospects.

Suggested Citation

  • International Monetary Fund, 2010. "Tonga: 2010 Article IV Consultation: Staff Report, Staff Supplement, and Public Information Notice on the Executive Board Discussion," IMF Staff Country Reports 2010/112, International Monetary Fund.
    • Handle: RePEc:imf:imfscr:2010/112
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    Cited by:

    1. Morris Goldstein, 2011. "Integrating Reform of Financial Regulation with Reform of the International Monetary System," Working Paper Series WP11-5, Peterson Institute for International Economics.
    2. Ping, Luo, 2011. "The Current State of the Financial Sector and the Regulatory Framework in Asian Economies—The Case of the People’s Republic of China," ADBI Working Papers 310, Asian Development Bank Institute.

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