Federal Republic of Yugoslavia: First Review Under the Stand-By Arrangement and Request for a Waiver

The government has implemented the IMF-supported program with impressive firmness and has moved quickly to adopt corrective measures as needed to ensure that it stays on track. Much has been accomplished in stabilization and structural reform within a short period. Achievement of the fiscal objectives will be challenging, in both Serbia and Montenegro. Continued progress in structural reform is important. The Federal Republic of Yugoslavia needs the continued support of donors and creditors. The World Bank is closely involved in the reconstruction efforts.