Transformative agenda for monetary and exchange rate policies

Africa’s debt sustainability and appropriate policy responses
This technical paper raises the following question: What is the role of Central Banks in Africa’s transformative agenda? The policy objectives of the paper focus on: evaluating short-term responses by African central banks to macroeconomic volatility resulting from commodity price decline and other global shocks and aligning the responses with medium- and long-term development priorities and challenges. They should also propose some lessons, best policy practices and recommendations on how central banks can

This technical paper raises the following question: What is the role of Central Banks in Africa’s transformative agenda? The policy objectives of the paper focus on: evaluating short-term responses by African central banks to macroeconomic volatility resulting from commodity price decline and other global shocks and aligning the responses with medium- and long-term development priorities and challenges. They should also propose some lessons, best policy practices and recommendations on how central banks can advance Africa’s agenda for structural transformation.

To place the above objectives into perspective in terms of inclusive and transformative development, the paper focuses on the following five areas: policy directions for monetary and exchange rate policy in African economies; long-term debt sustainability in Africa; a bond market for long-term finance in Africa to support an infusion of infrastructure investment to close the infrastructure gap; building resilience in African economies; and a transformative financial system.