During the 1990s, Suriname was subject to exogenous shocks that were exacerbated by inadequate macroeconomic policy responses. During that decade, fiscal and monetary policies tended to vastly amplify the effects of negative shocks to bauxite export receipts, leading to various episodes of nearhyperinflation. Output growth was also highly volatile, reflecting to some extent the countrys dependence on mining exports, but more so the highly inadequate macroeconomic policies. In recent years, the outlook has turned substantively more positive. The favorable external environment and the stability-oriented policies of the Venetiaan administration have boosted confidence in the economy, leading to increased investment, domestic economic activity, and employment. Nonetheless, the economy continues to be based largely on commodity exports, mainly bauxite, oil, and gold, while nontraditional agricultural exports face significant developmental and export hurdles. A detai
Publisher: International Monetary Fund (IMF)
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