Tanzania Vetoes Release of IMF Evaluative Article IV Report

By Toby McIntosh

The government of Tanzania has exercised its option to suppress a major report about Tanzania prepared by the International Monetary Fund.

The IMF’s Article IV report is a sweeping appraisal of the economic, financial and exchange rate policies. The periodic reports involve “a comprehensive analysis of the general economic situation and policy strategy of each member country,” according to a brief IMF press release April 17 announcing Tanzania’s decision to veto its release.

Under IMF rules, governments must consent to the release of such reports and of a press release that summarizes the IMF Board’s discussion of the report. The IMF Executive Board reviewed the report on Tanzania on March 18. Under the “voluntary but presumed” policy, about 95 percent of Article IV reports get released.

However, not Tanzania’s.

The IMF said, “The authorities have not consented to publication of the staff report or the related press release.”

The last time the IMF did an Article IV report on Tanzania, in 2016, the government agreed to its release.

The veto comes at a time when the Tanzanian government has been under fire from donor governments for repressive policies against civil society and the press.

The IMF recently cut its 2019 economic growth projection for Tanzania from 6.6 percent to 4 percent.

The World Bank has been held up loans because of a Tanzanian policy of expelling pregnant girls from school. Both the Bank and the IMF have questioned a 2018 law criminalizing criticism of official government statistics. See April 17 EYE story.

These and other topics might well have been addressed in the Article IV report and by Board members.

In its note, the IMF described the process:

IMF economists visit the member country, usually once a year, to collect and analyze data and hold discussions with government and central bank officials. Upon its return, the staff submits a report to the IMF’s Executive Board for discussion. The Board’s views are subsequently summarized and transmitted to the country authorities.