Suriname is seeking to renegotiate the terms of its Extended Fund Facility (EFF) with the International Monetary Fund (IMF) in response to new global economic realities and their effects on the Surinamese economy.

According to President Chandrikapersad Santokhi, “talks are already under way at the technical level with the IMF”.

Said Santokhi: “Negotiations will also be held at the government level shortly. These should lead to a balanced and updated program that will be submitted to the Executive Board for approval.”

DIALOGUE ON POSSIBLE ‘UPDATED’ AGREEMENT

Santokhi met with IMF Managing Director Kristalina Georgieva on September 16 to further the dialogue on a possible ‘updated’ agreement.

In May this year, an IMF delegation said it had reached a staff-level agreement on the second review of the EFF. It said Suriname’s economic programme remains on track, albeit with delays in some policy reforms, and the economy continues to recover from the deep recession in 2020-21, even as it faces a range of near-term challenges, including those newly created by the war in Ukraine.

“The government’s near-term policies focus is on how best to mitigate the impact of the global commodity price shock on the economy and, especially, on vulnerable households. The government remains committed to reducing vulnerabilities and improving the country’s fiscal and external balances,” the IMF said then.