Concluding this year’s Article IV consultation with Kazakhstan, the IMF praised the country’s responsible macroeconomic policy, but warned on rising inflation and significant risks in the banking sector. The IMF stressed the need to toughen monetary policy beyond the recent raising of banks’ reserve requirements and other regulations in the financial sector. It recommended further regulatory measures in real estate, foreign currency loans and investment activities. It also recommended an appreciation of the currency, the tenge, to hlp control inflation which could hit 8.5% this year.
Mexico's power sector needs 509 billion pesos ($44.6 billion) in investment through 2014, according to a new report from the energy ministry's (Sener) investment promotion department. Power demand will grow by 5.2% over the period according to Sener. Some 22,205 mega watts (mw) of new generation capacity is due to be added by 2014, when total generation capacity will reach 64,649 mw. Sener identified 11 power projects, with a combined capacity of 4470 mw, due to begin commercial operations between 2009 and 2012. The private sector will finance seven of the projects and four will fall under a mixed investment program.
Morocco’s Finance Minister, Fathallah Oualalou, said the country's privatisation process has raised 75.5 billion dinar ($8,6 billion) since the country’s privatisation programme began in 1993. The programme has seen 44 institutions and 26 hotels privatised, while the market capitalisation of the Casablanca stock exchange rose from five billion dinar to 240 billion dinar.
Bank Indonesia's Deputy Governor Aslim Tadjuddin said that with inflation moderating, the central bank will have more room to cut domestic interest rates. Tadjuddin said that if inflation can be moderated to 7%, a rate cut would be certain. At its last meeting, Bank Indonesia left the reference rate unchanged at 12.5%.