A virtual mission led by Camilo E. Tovar from the International Monetary Fund (IMF) was held between September 30 and October 8, 2025, to review Haiti’s progress under its Staff-Monitored Program (SMP). These programs are informal agreements designed to help countries like Haiti implement economic reforms and build a record that may qualify them for further IMF financial assistance.
According to Mr. Tovar, “Economic conditions in Haiti remain fragile amid persistent domestic and external shocks and rising uncertainty. The economy has contracted for a seventh consecutive year. Inflation remains high at around 32 percent year-on-year. The banking sector continues to show vulnerabilities, with the nonperforming loan ratio above 13 percent in June 2025, although the system’s capital adequacy ratio (22 percent) exceeds the regulatory minimum of 12 percent.”
The report noted an increase in remittance inflows as families abroad send more funds home due to security issues and potential changes in migration policies. This has improved Haiti’s current account balance, which is expected to post a moderate surplus for fiscal year 2025. As of July's end, international reserves exceeded $3.1 billion—enough for about seven months of imports—while the exchange rate remained stable.
Mr. Tovar stated that fiscal policy remains constrained by ongoing security problems and institutional weaknesses but noted improvements: “The fiscal position was broadly balanced in FY2025, reflecting improved nominal revenue collection and low spending execution due to persistent security conditions and institutional fragilities. Social spending rose by about 34 percent, supported by the 2023 IMF’s Food Shock Window under the IMF’s Rapid Credit Facility.” Public debt is projected at just over 12 percent of GDP—the lowest rate among Latin America and Caribbean nations.
Risks continue to weigh on Haiti’s outlook. Mr. Tovar explained that “intensified gang-related disruptions, and escalating violence or social unrest could further exacerbate social and economic vulnerabilities.” Shifts in foreign immigration or trade policies could reduce exports or remittances further affecting the economy.
On possible positive developments, he added: “the United Nations Security Council’s authorization to transition the Multinational Security Support mission in Haiti for a new multinational Gang Suppression Force—supported by the newly established United Nations Support Office for Haiti and the Organization of American States—could mark a turning point in efforts to restore security in the country.”
Regarding program implementation so far, all quantitative targets set for June have been met according to Mr. Tovar: “Monetary financing of the fiscal deficit has been maintained at zero, social spending reached the program’s targets, and revenue performance stayed on track.” International reserves continued growing due mainly to strong remittance inflows.
Priority areas going forward include governance reforms focused on transparency in public finances; steps against corruption; advancing anti-money laundering efforts; improving tax collection systems; strengthening budget execution especially for social programs; maintaining central bank credibility; advancing financial supervision; improving data provision quality; as well as publishing audited financial statements promptly.
Mr. Tovar also highlighted that despite progress made under this SMP arrangement: “Haiti requires international financial support to meet its urgent and large development needs...this support should be provided in the form of grants rather than non-concessional loans.”
During this review period IMF staff met with Haitian government officials including Minister Alfred Métellus (Economy & Finance) and Bank Governor Ronald Gabriel.
The IMF will continue collaborating with other partners involved with Haiti on governance issues as part of its strategy for fragile states.