REVIEWS OF THE FUND'S SOVEREIGN ARREARS POLICIES AND PERIMETER—SUPPLEMENTARY INFORMATION
1. The COVID-19 shock underscores the need to nowcast economic activity. Nowcasting is the prediction of the present, the very near future and the very recent past, which is a combination of two terms, now and forecasting (Giannone and others. 2008). Nowcasting is useful since key statistics on the present state of the economy (e.g., GDP) are available with a lag and at a low frequency. During times of heightened uncertainty and stress like the COVID-19 crisis, such a timely assessment becomes more urgent. To obtain an “early estimate” of the current economic situation before the official figures are released, we can exploit data published earlier and possibly at higher frequency.
1. The Board of Governors has called on the Executive Board to work expeditiously on the Fifteenth General Review of Quotas (hereafter the 15th Review) in line with existing Executive Board understandings and guidance provided by the International Monetary and Financial Committee (IMFC) on October 8, 2016.1 As set out in the Board of Governors’ Resolution, this work should be completed by the Spring Meetings of 2019, and no later than the Annual Meetings of 2019. At its October 8 meeting, the IMFC reaffirmed its commitment to a strong, quota-based, and adequately resourced IMF to preserve its role at the center of the global financial safety net. The IMFC further stated that it was committed to concluding the 15th Review and agreeing on a new quota formula as a basis for a realignment of quota shares to result in increased shares for dynamic economies in line with their relative positions in the world economy and hence likely in the share of emerging market and developing countries (EMDCs) as a whole, while protecting the voice and representation of the poorest members.2
Fifteenth General Review of Quotas—Quota Formula and Realigning Shares—Annexes
(As of January 31, 2020)
2017 Article IV Consultation-Press Release; Staff Report