While not without risks in a global context of volatile financial conditions, staff and
the authorities agree that the current situation is appropriate for a move. As noted during the 2015
Article IV consultation, the key preconditions for a successful move to more exchange rate flexibility
are in place, thanks to the stronger fiscal and external buffers, alignment of the exchange rate with
fundamentals, and resilience of the financial sector. The Fund is providing TA for the final
preparations, and staff will now support the authorities with a consolidated roadmap including all
TA recommendations on various operational aspects of the transition. This will help the authorities
decide on key steps going forward, such as regarding the exchange rate band, foreign exchange
intervention strategy, and inflation target.