MEFMI Officials Trained on Developing Borrowing Plans   

A joint MEFMI/IMF/World Bank regional workshop on Developing an Annual Borrowing Plan (ABP) was conducted virtually from 23 to 27 May 2022. The workshop aimed to enhance participants’ knowledge of the implementation of a medium-term debt management strategy (MTDS) through the development of an ABP and domestic debt issuance calendar.

The training was held against the background of the rapid accumulation of public debt in most MEFMI member countries following the outbreak of the COVID-19 pandemic. Debt managers have, more than ever been required to respond quickly to the build-up by following the guidelines defined in their respective debt management strategies, while also adjusting the pace and direction of implementation. Given such a context a well-defined ABP helps a government to efficiently implement its debt management strategy and translate it into auction calendars. However, most countries have had challenges developing or adapting their borrowing plans in response to the pandemic.

The workshop, which was conducted through the Zoom Platform, covered the following topics:  Importance of an ABP; Developing an MTDS; Developing an ABP using the IMF/World Bank Analytical Tool as well as Linkages between cash and debt management. There were also presentations by country representatives on debt management practices and challenges. The presentations focused on the process and responsibilities for preparing, recommending, and approving the MTDS and the ABP.

A total of 57 officials were trained in the workshop, drawn from ten (10) out of 14 MEFMI member countries, namely Botswana, Kenya, Lesotho, Mozambique, Namibia, Eswatini, Tanzania, Uganda, Zambia and Zimbabwe. The workshop was attended by middle to senior level officials responsible for domestic debt management, cash management and financial markets departments in Ministries of Finance, Economic Planning and Development and Financial Markets departments of Central Banks.  The workshop enhanced participants’ knowledge on the implementation of an MTDS through the development of an ABP and a domestic debt issuance calendar. It also gave participants an opportunity to learn from the practices and experiences of peer countries. MEFMI expects the participants to use the knowledge gained from the workshop to efficiently implement domestic debt strategies and translate them into ABPs through auction calendars.

Six (6) resource persons facilitated at the workshop, namely: Ms. Kia Luo Shijia of IMF; Mr. José Franco Medeiros and Mr. Vasileious Tsiropoulosof the World Bank; Mr. Juan Carlos, an Independent Consultant; Mr. Cappitus Chironga, a MEFMI Accredited Fellow of the Central Bank of Kenya and Mrs. Cristina Dimande of the MEFMI Secretariat.

By: Cristina Dimande