While it is acknowledged that one contributing factor to the reduced need for Fund lending is the extent of success of IMF programme implementation in the past, this reduced recourse to Fund resources should not lead to member countries ignoring the Fund’s reform programmes and policy advice, because doing so would be counter-productive.
I hasten to add that, although not a borrower of Fund resources for programme assistance, Botswana values her long-term partnership with the Fund. There is absolutely no doubt that Fund advice has largely been beneficial; so too has technical assistance. However, in the advent of the PSI, we should ask whether it has moved far enough from the Poverty Reduction and Growth Facility (PRGF).