| Description |
1 online resource (29 pages) : illustrations |
| Series |
IMF working paper, 2227-8885 ; WP/08/83 |
|
IMF working paper ; WP/08/83.
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| Contents |
I. Introduction; II. External Sector Developments and Key Vulnerabilities; A. Balance of payments; Figures; 1. Balance of Payments Trends; B. Evolution of REER indices; III. Equilibrium Exchange Rate Estimation; A. Behavioral equilibrium exchange rate approach; 2. Real Effective Exchange Rate Indices; B. Estimation results; 3. Determinants of the Real Effective Exchange Rate; 4. Equilibrium Real Exchange Rate Estimation; IV. External Sustainability Approach; Tables; 1. Assumptions; 5. External Sustainability Assessment; V. Export Performance and Nonprice Competitiveness Indicators |
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A. External sector outcomesB. Nonprice indicators of competitiveness; 6. Export Performance Indicators; 2. Comparative Costs of Infrastructure Services in the Late 1990s; 3. Comparativeness Rankings; VI. Summary and Conclusions; 7. Governance Indicators; References; Appendix; Appendix Tables; 1. Unit Root Tests; 2. Test for Model Reduction; 3. Cointegration Tests: Trace Test and Maximum Eigenvalue; 4. Results of Cointegration Estimation; 5. Residuals Tests; Appendix Figures; 1. Breakdownpoint Chow Tests; 2. Equilibrium REER Estimation: Cointegration Residuals |
| Summary |
The paper combines various methodologies to assessing the level of the exchange rate in Botswana, explicitly taking into account the implications of its dependency on diamond exports. Real exchange rate estimation indicates that, after a period of overvaluation, Botswana's real effective exchange rate is now broadly in line with economic fundamentals. The projected current account path is also consistent with external sustainability, defined to ensure sufficient savings of diamond wealth in order to maintain a stable import and consumption path through 2050. Sustaining consumption over the longer term will however require to address obstacles to non-diamond exports' competitiveness |
| Bibliography |
Includes bibliographical references (pages 23-24) |
| Notes |
Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002. http://purl.oclc.org/DLF/benchrepro0212 MiAaHDL |
|
English |
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digitized 2010 HathiTrust Digital Library committed to preserve pda MiAaHDL |
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Print version record |
| Subject |
Foreign exchange rates -- Botswana -- Econometric models
|
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Diamond industry and trade -- Botswana -- Econometric models
|
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Economic history
|
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Economic policy -- Econometric models
|
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Foreign exchange rates -- Econometric models
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| SUBJECT |
Botswana -- Economic conditions -- Econometric models
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Botswana -- Economic policy -- Econometric models
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| Subject |
Botswana
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| Form |
Electronic book
|
| Author |
Gaertner, Matthew, author.
|
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International Monetary Fund. African Department.
|
| ISBN |
1451913982 |
|
9781451913989 |
|
9781451869446 |
|
1451869444 |
|
1462327559 |
|
9781462327553 |
|
1452714789 |
|
9781452714783 |
|
9786612840449 |
|
6612840447 |
|
1282840444 |
|
9781282840447 |
|
