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International Monetary Fund

I. Introduction 1. Despite the tensions across the Sahel region, Chad’s security situation has been improving . Episodes of ethnic strife along the Chad-Libya border are still occasionally reported and developments in Mali and Nigeria point to elevated security threats. However, peace with Sudan holds and the pockets of the 2008 rebellion are reported to have disappeared. 2. Nonetheless, because of past armed conflicts, the 2011 drought, and the recent floods, many residents are in need of humanitarian assistance . Hundreds of thousands displaced by

International Monetary Fund. African Dept.

Growth performance in Africa was strong in 2004, and inflation has reached a historical low. While output growth was particularly strong in the oil-producing countries, the region faced a number of sizable exogenous shocks with differing implications for individual countries. In particular, countries have been challenged by surges in oil prices and increases in other commodity prices, record low world cotton prices affecting Africa’s cotton exporters, and a locust plague in the Sahel region. Overview of Developments in 2004 Real GDP growth in sub

International Monetary Fund. African Dept.