Moldova remains without IMF permanent representative

The Resident Representative of the International Monetary Fund in Moldova Johan Mathisen will officially leave the post on August 24, Info-Prim Neo reports. The IMF representative argued that his tenure of three years and a half has expired, but invoked also personal reasons. At an informal meeting with journalists on Thursday, Johan Mathisen said that from Tuesday he will take over a new post at the IMF, but in the future he could form part of the missions of IMF negotiators to Moldova. It is not yet known when the IMF will name a new permanent representative for Moldova and when the talks over a new financing program will be reopened. Mathisen said that this depends greatly on the political processes in the country. Moldova could sign a new financing agreement with the IMF only in 2010 and only if a new government is formed. The IMF representative avoided commenting on the possible dangers connected with the rise in the internal debt and the budget deficit to 2.5 billion lei, but stressed that the present government should immediately implement a set of anti-crisis measures. According to Mathisen, Moldova has now three alternative solutions for overcoming the crisis – to improve the budget policies by raising taxes and, respectively, the revenues to the budget, to cut the budget expenditure, and to take out foreign and interbank loans. Though Moldova does not benefit from a country program at present, Mathisen said that the IMF is ready to provide technical assistance and emergency financial assistance in case of serious economic problems. Johan Mathisen also said that he lived a nice time in Moldova and has many beautiful memories. The IMF Mission in June this year postponed the talks over a new financing agreement with Moldova after the expiration of the Economic Growth and Poverty Reduction Facility. The IMF representatives promised then that the talks will be resumed in autumn after the early elections, when the new government is appointed.