The annual mission of the International Monetary Fund (IMF) under Article IV of its Articles of Agreement, which provides for a periodic assessment of the economic performance of member countries, ended on Sept. 26, 2025. The IMF delegation, led for the second year by Mission Chief Anna Shabunina, held technical meetings with the government, social partners and representatives of the country's main economic sectors.
The Central Bank, in its role as the Single Supervisory Authority, acted as usual as the point of contact with regard to the San Marino financial system and, in that capacity, coordinated the meetings and information provided to the IMF team.
In the Mission's "Concluding Statement," which anticipates in brief the assessments that will flow into the subsequent final "Staff Report," the IMF emphasizes that San Marino's economic growth remains solid, the prudent fiscal policy has made it possible to reduce the system's vulnerabilities, but there remains a need to accelerate structural reforms, including those aimed at implementing the Association Agreement.
Regarding the financial system, the IMF remarked on the progress made in recovering confidence and, thanks to the reforms undertaken, including system securitization, the results achieved in terms of improving banking sector liquidity and asset quality. Appreciated BCSM's action to strengthen the capitalization of institutions, also achieved by setting aside retained earnings. Having in mind the expected benefits of the Association Agreement for the financial sector, the IMF recommended that BCSM be provided with additional resources so as to strengthen its financial autonomy and meet the challenge of European integration with adequate technical and professional equipment.
During the technical meetings, the IMF, as also reported in the Concluding Statement, recalled the need to accelerate the path of upgrading banking assets, strengthening capital endowment and supporting the system's profitability including through cost-cutting policies. In general, the IMF notes that the implementation of the Association Agreement requires technical profiles of individual institutions fully in line with the regulatory requirements of the European regulatory framework.
The recommendations made by IMF experts confirm the initiatives undertaken by the Central Bank to consolidate the San Marino financial system, including the definition and sharing of a plan to achieve its full integration into the European market. In this regard, a special "Position paper" will be published by the end of the year that will outline the agenda of reforms promoted by BCSM, following a system approach that has been successfully followed in the past.
The IMF's Concluding Statement can be found at the following link:
https://www.imf.org/en/News/Articles/2025/09/26/cs-092625-san-marino-staff-concluding-statement-of-the-2025-article-iv-mission
The Central Bank, in its role as the Single Supervisory Authority, acted as usual as the point of contact with regard to the San Marino financial system and, in that capacity, coordinated the meetings and information provided to the IMF team.
In the Mission's "Concluding Statement," which anticipates in brief the assessments that will flow into the subsequent final "Staff Report," the IMF emphasizes that San Marino's economic growth remains solid, the prudent fiscal policy has made it possible to reduce the system's vulnerabilities, but there remains a need to accelerate structural reforms, including those aimed at implementing the Association Agreement.
Regarding the financial system, the IMF remarked on the progress made in recovering confidence and, thanks to the reforms undertaken, including system securitization, the results achieved in terms of improving banking sector liquidity and asset quality. Appreciated BCSM's action to strengthen the capitalization of institutions, also achieved by setting aside retained earnings. Having in mind the expected benefits of the Association Agreement for the financial sector, the IMF recommended that BCSM be provided with additional resources so as to strengthen its financial autonomy and meet the challenge of European integration with adequate technical and professional equipment.
During the technical meetings, the IMF, as also reported in the Concluding Statement, recalled the need to accelerate the path of upgrading banking assets, strengthening capital endowment and supporting the system's profitability including through cost-cutting policies. In general, the IMF notes that the implementation of the Association Agreement requires technical profiles of individual institutions fully in line with the regulatory requirements of the European regulatory framework.
The recommendations made by IMF experts confirm the initiatives undertaken by the Central Bank to consolidate the San Marino financial system, including the definition and sharing of a plan to achieve its full integration into the European market. In this regard, a special "Position paper" will be published by the end of the year that will outline the agenda of reforms promoted by BCSM, following a system approach that has been successfully followed in the past.
The IMF's Concluding Statement can be found at the following link:
https://www.imf.org/en/News/Articles/2025/09/26/cs-092625-san-marino-staff-concluding-statement-of-the-2025-article-iv-mission