By Peter OBIORA InvestAdvocate

Lagos (INVESTADVOCATE)-The International Monetary Fund (IMF) Tuesday said Côte d’Ivoire’s economic growth is expected to exceed 8.5 percent (8.5%) in 2013 and inflation remaining moderate.

This is coming on the heels of discussions on the IMF’s Article IV consultation and the fourth review of a program supported by the Extended Credit Facility (ECF) with Côte d’Ivoire.

Michel Lazare, Assistant Director in the IMF’s African Department at the conclusion of the discussions said macroeconomic performance of the country in the first half of 2013 was better than expected, with continued strong gross domestic product (GDP) growth, and moderate inflation despite increases in some food product prices.

Lazare said with the support of substantial external financing, public investment would rise to over 7 percent of GDP, in line with the 2012-2015 National Development Plan.

“Clear progress has also been made in the implementation of structural reforms, especially to improve the business climate and strengthen the energy sector,” Lazare said.

According to the IMF’s Assistant Director, African Department, the mission welcomes the significant progress made in preparing an action plan for the regularization of domestic arrears to suppliers, formulating strategies for developing the financial sector and restructuring public banks as well as the elaboration of electricity and mining sector codes.

Also, the mission welcomes the preparation of a medium-term debt strategy and the further strengthening of debt management; while encouraging the Ivorian authorities to continue the implementation of ambitious structural reforms to keep on achieving high growth rates and their goal of transforming the economy into an emerging market by 2020.

The IMF mission said attaining growth objectives will require the preservation of macroeconomic stability and the consolidation of the considerable progress achieved in restoring the soundness of public finances.

“Against the background of rising investment, continued implementation of the Fund-supported economic and financial program should result in substantial job creation, increased resources for pro-poor expenditures, better access to public services, and more generally higher living standards for the people of Côte d’Ivoire,” the IMF team said.

The IMF team and the Ivorian authorities reached agreement subject to approval by the Fund’s management and the Executive Board, that the country’s government’s policies could be supported with a disbursement of SDR 48.78 million (about US$74 million) under the IMF’s ECF arrangement scheduled for early December 2013.