Republic of San Marino : 2016 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the Republic of San Marino

Context: A subdued recovery has started to settle in. However, downside risks persist. San Marino's economy remains in transition following the implosion of its offshore banking model in the aftermath of the global crisis, resulting in the loss of a third of output. Challenges: Lay foundations for sustainable growth strengthening the banking system, realigning fiscal policy with new economic realities, and improving flexibility to enable the diversification of economic activity.