IMF calls for political clarity

After a two-week mission to the Comoros, the International Monetary Fund (IMF) said it would be impossible to draw up an economic programme for the archipelago in the short term until the current political situation was clarified. "The weak performance of the programme established with the IMF and the current conflict on the sharing of [political power] do not allow for the continuation of discussions with the Comoros authorities with a view to concluding a PRGF [Poverty Reduction and Growth Facility] programme," the report said. Since the introduction of a new political system which granted the islands of Moheli, Anjouan and Grande Comore their own federal presidents, a political tussle has ensued over how the separation of powers between the federal presidents and the Union president would work. Under the devolution process, Anjouan, Moheli and Grande Comore govern most of their own affairs with their own presidents. Overall Union President Assoumani Azali's government controls defence, foreign affairs and currency. However, the IMF handed the authorities a mixed assessment of the economy. According to the report, the Comoros continued to benefit from the rise in export prices as well as the resumption of economic activities after the lifting of an Organisation of African Unity embargo in 2001 on the separatist island of Anjouan. The gross domestic product was estimated at 3 percent for this year, while inflation was down from 4 percent to 6 percent in 2001. Despite some success, the report noted a significant drop in income with a rise in the cost of living. According to analysts, the decision by the IMF not to continue its support for the troubled island implied the cancellation of a meeting of the country's creditors, scheduled in Paris later this month, to lighten or reduce the foreign debt. "Until there is some definite clarification of administrative control, the international community will remain hesitant to assist with development. Although it is likely that the new political dispensation will resolve their differences over the details of new political devolution," regional economic analyst, Majakhathatha Mokoena, told IRIN. In a parallel meeting with the Union and island's finance ministers in the capital Moroni earlier this month, the IMF proposed that a union budget covering the islands of Grande Comore and Moheli be drawn up. Also, it was suggested that the central government should continue to run public companies. Meanwhile, in move to resolve the political stand-off, Azali suggested that meetings be held twice a month between all four of the archipelago's leaders. Abdou Elbak and Mohammed Bacar, presidents of Grande Comore and Anjouan respectively, boycotted national independence day celebrations in Moroni on 6 July. Azali promised that representatives of the three constituent islands would be added to the committee in charge of drawing up a bill on the various powers shared between the central administration and the three island governments. "Although there is no immediate threat to personal security, there is a feeling among people in Moroni that things should be cleared up so that people can get on with their lives. But overall, it is calm," UN Devlopment Programme officer Maija Abdramane told IRIN.