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Mali

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  • Overview
  • Official Resources
  • COVID-19 Restrictions
  • Economic Measures
  • Civic Freedom Tracker

Overview

The outbreak reached Mali relatively late, with first confirmed cases on March 24, 2020. The number of total cases continues to rise. The spread of the pandemic accelerated since October 2020, with the start of the second wave, from around 15 new cases a day to over 100 cases at end-December 2020 (calculated as a 7-day moving average due to high variability of the daily data). After decelerating since January 2021, the number of new daily cases picked up at end-February with the start of the third wave and peaked at a record high of over 400 new cases on April 9, 2021. The spread of the virus has slowed significantly since then to around 3 daily cases at end-May.

Since mid-March 2020, at the start of the pandemic, the government has introduced preventive containment measures. These included the suspension of commercial flights (except cargo flights), the closure of land borders, a curfew from 9:00pm to 5:00am, the suspension of all public gatherings, the prohibition of social, sports, cultural and political gatherings of more than 50 people. In addition, the government set up a crisis response unit, a hotline for signaling any suspicious case, and stepped up sensitization campaigns, strengthening testing capacities, expanding quarantine and hospitalization facilities, and improving medical care capacities. Working hours in the public administration were reorganized to end earlier (at 2:30pm), to protect civil servants. Retail markets remained open from 6:00am to 4:00pm, to prevent disruptions in the supply of population with basics goods. 10 million masks have been distributed to the population. On May 20, 2020, 400 prisoners were released as a preventive step against the spread of COVID-19.

Reopening of the economy and additional containment measures. As of May 9, 2020, the night curfew was lifted and it has become mandatory to wear masks in public. Schools reopened on June 2 for final year students. The schools for other students reopened on September 1. On July 24, the Prime Minister signed a decree putting an end to the pandemic-related containment restrictions. Air and land border reopened on July 25 and July 31, respectively. Normal working hours resumed in public administration starting from August 1.

Policies during the second wave of the pandemic. On December 1, the authorities issued a statement announcing reinforcement of measures, including stricter application of preventive measures (e.g. mandatory wearing of masks, physical distancing, promotion of teleworking, etc.); strengthened monitoring of the pandemic, and enhanced awareness campaigns. On December 18, the authorities re-introduced measures on prohibiting cultural and touristic activities, and public gatherings and events (conferences, workshops, etc.). Universities and other educational institutions were closed during December 22, 2020 - January 25, 2021. On January 25, the measures on prohibiting public gathering were lifted and educational institutions re-opened. On January 20, the authorities submitted a national strategy for introducing the COVID-19 vaccine. The goal is to vaccinate 20 percent of the population under the COVAX initiative. This will include population over 60 years old, medical workers and population with underlying health conditions. The vaccination campaign is to start in April 2021.

National vaccination strategy. In January 2021, the authorities prepared a national strategy for introducing the COVID-19 vaccine. The goal is to vaccinate 20 percent of the population under the COVAX initiative that would require around 8.2 million doses of vaccine to cover the population over 60 years old, medical workers and population with underlying health conditions. The first batch of the Astra-Zeneca vaccine arrived to Bamako on March 5, 2021, and the vaccination campaign started the week of March 29. Around 127 thousand doses of vaccine have been administered as of end-May 2020, which is enough to cover around 0.3 percent of the population (assuming two doses per person).


Official Resources

  • Ministry of Health’s website

COVID-19 Restrictions

Movement Restrictions

  • Is a curfew in place? No
  • Are there restrictions on intercity or interstate travel? No

Transportation Options

  • Are commercial flights operating? Yes
  • Is public transportation operating? Yes

Economic Measures

Key Policy Responses as of June 3, 2021

 

FISCAL
  • With the onset of the pandemic in April 2020, the government updated its medical response plan to prevent the spread of COVID-19 and strengthen its medical care capacity, in collaboration with the World Health Organization, costed at about 0.6 percent of GDP (including bonuses to health workers), and the World Bank in terms of medical equipment (respirators, quarantine facilities, etc.) The government’s measures to support the most vulnerable households included the setup of a special fund to provide targeted income support and a mass distribution of grain and food for livestock to the poorest households, the supply of electricity and water free of charge to the consumers in the social tranche for April-May 2020, a 3-month exemption from VAT on electricity and water tariffs, and a 3-month exemption from customs duties on the import of basic food (rice and milk). A package of economic measures was also launched to ease liquidity constraints on ailing firms, including an SME-support guarantee fund, clearing the budget spending float, granting tax deferral and relief to ease liquidity constraints on the hardest-hit companies, especially in the hospitality sector (hotels, restaurants, transportation). On April 27, 2020, Heads of States of the West-Africa Economic and Monetary Union (WAEMU) declared a temporary suspension of the WAEMU growth and stability Pact setting six convergence criteria, including the 3 percent of GDP fiscal deficit rule. This temporary suspension allowed member-countries to raise their overall fiscal deficit temporarily and use the additional external support by donors in response to the COVID-19 crisis. The Heads of States’ Declaration sets a clear expectation that fiscal consolidation will resume once the crisis is over.

    Preliminary estimates suggest that around 95 percent of the planned COVID-19-related spending has been was committed or implemented in 2020. The government fully executed the support to electricity and water SOEs and the food distribution plans, and around 76 percent of COVID prevention and medical support spending. 100 percent of the household income support were committed but most transfers are only expected to be made in 2021 as potential beneficiaries are being identified. With the onset of the second wave of the pandemic, the transitional authorities re-introduced VAT exemption on utility bills for December 2020 and January 2021. The additional measures are estimated at around 0.03 percent of GDP. To provide further support to the economy and to strengthen medical capacity, new policy measures at around 0.9 percent of GDP have been budgeted for 2021, which includes medical spending related to COVID-19, support to companies and households. as of March 31, 2021, around 11 percent of this planned spending was executed.

  • https://graphics.reuters.com/world-coronavirus-tracker-and-maps/countries-and-territories/mali/
  • https://www.finances.gouv.ml/sites/default/files/Situa_depenses%20COVID_31_12_2020.pdf
  • https://www.finances.gouv.ml/sites/default/files/Sit_depenses%20COVID_31032021.pdf
MONETARY AND MACRO-FINANCIAL
  • The regional central bank (BCEAO) for the West-African Economic and Monetary Union (WAEMU) has taken steps to better satisfy banks’ demand for liquidity and mitigate the negative impact of the pandemic on economic activity. In April 2020, the BCEAO adopted a full allotment strategy at a fixed rate of 2.5 percent (the minimum monetary policy rate) thereby allowing banks to satisfy their liquidity needs fully at a rate about 25 basis points lower than before the crisis. In June 2020, the Monetary Policy Committee cut by 50 basis points the ceiling and the floor of the monetary policy corridor, to 4 and 2 percent respectively. The BCEAO also: (i) an extended the collateral framework to access central bank refinancing to include bank loans to prequalified 1,700 private companies; (ii) set up a framework inviting banks and microfinance institutions to accommodate demands from solvent customers with COVID-19-related repayment difficulties to postpone for a 3 month renewable period up to end-2020 debt service falling due, without the need to classify such postponed claims as non performing; and (iii) introduced measures to promote the use of electronic payments. In addition, the BCEAO launched in April 2020 a special 3-month refinancing window at a fixed rate of 2.5 percent for limited amounts of 3-month "COVID-19 T-Bills" to be issued by each WAEMU sovereign to help meet immediate funding needs related to the current pandemic. The amount of such special T-bills initially issued by Mali amounted to CFAF 88 bn (0.9 percent of GDP), with some rollover possibility through such special T-Bills benefitting from a refinancing rate equivalent to the prevailing monetary policy rate but to be all paid back by end-2020. The BCEAO has launched in February 2021 a special 6-month refinancing window at the floor of the interest rate corridor to help WAEMU governments meet COVID recovery funding needs. Through this special window banks shall be able to refinance all bonds with maturity of 3 years or more governments currently plan to issue on the regional financial market in 2021. The amount of bonds eligible to the new refinancing window for country Mali is equivalent to 5.2 percent of projected 2021 GDP. The new refinancing window is expected to remain in place for the term of the eligible bonds issued in 2021. Finally, WAEMU authorities have extended by one year the five-year period initiated in 2018 for the transition to Basel II/III bank prudential requirements. In particular, the regulatory capital adequacy ratio will remain unchanged at end-2020 from its 2019 level of 9.5 percent, before gradually increasing to 11.5 percent by 2023 instead of 2022 initially planned. In addition, in June 2020, the West African Development Bank (BOAD) created a CFAF 100 billion window for extending 5 to 7 year refinancing of banks’ credit to SMEs in the eight WAEMU member countries. In December 2020, the BCEAO encouraged WAEMU banks to refrain from distributing dividends with a view to strengthening their capital buffers in anticipation of the impact of the COVID crisis on asset quality.

 

Civic Freedom Tracker

BAN ON PUBLIC GATHERINGS

The decree indefinitely suspends all meetings, seminars and colloquiums, and bans social, political, cultural gatherings of more than 50 people.

(See primary source or citation here)

Type: order
Date Introduced: 19 Mar 2020
Issue(s): Assembly

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