This Selected Issues paper reviews West African Economic and Monetary Union’s (WAEMU) regional macroeconomic surveillance framework to control all sources of debt accumulation and ensure debt sustainability. WAEMU’s regional surveillance framework aims at ensuring the sustainability of national fiscal policies and their consistency with the common monetary policy. While fiscal deficits have been the main driver of public debt across WAEMU member countries, the size of residual factors has varied greatly among these countries. The WAEMU Macroeconomic Surveillance Framework would benefit from adjustments to more effectively set the region’s public debt on a sustainable path. In addition, beyond adhering to the WAEMU fiscal deficit rule, member countries must curb below-the-budget-line operations. This would require improved monitoring of fiscal risks and the building of adequate budget provisions to address such risks before they materialize. Improved Treasury practices would also help eliminate the recourse to pre-financing arrangements and tighten control over expenditure. Public dissemination of the WAEMU progress report and strengthened peer-to-peer learning among member countries could improve the momentum for reforms.
This Selected Issues paper provides an assessment of the redistributive impact of fiscal policies in Togo by estimating the impact of taxation and spending on household-level income inequality and poverty rates. Although the combination of direct taxes and subsidies is found to reduce inequality, it increases poverty rates, as the value of taxes paid by lower-income households outweighs the value of transfers they receive, increasing the share of the population living below the poverty line. These findings highlight the importance of targeting spending to lower-income households as the authorities progressively shift public spending from infrastructure to social expenditures.
This Joint Staff Advisory Note on the Poverty Reduction Strategy Paper for Togo, discusses that the new Strategy for Boosting Growth and Promoting Employment (SCAPE) presents the overarching reference framework for the Government’s development agenda and reflects the authorities’ aspiration to become, over the next 15–20 years, a middle income country, in which the rule of law and human rights are respected. The SCAPE draws upon the results of a nationally representative household survey (QUIBB). Being comprehensive, the SCAPE offers less in terms of prioritization. In light of persistent capacity constraints and limited financing, it would have been advantageous if the SCAPE had presented a clearer perspective on the Government’s role in the development process, if a more focused growth and social development strategy had been articulated, and if SCAPE’s implementation mechanisms had been closer aligned with existing decision-making mechanisms. The IMF staff suggests that the SCAPE’s analysis could be supplemented with additional analyses on the impact of SCAPE policies on poverty, inequality and (rural) employment.
This Poverty Reduction Strategy Paper highlights that Togo’s Strategy for Boosting Growth and Promoting Employment offers a medium-term development framework for implementing the Government’s General Policy Statement, the Millennium Development Goals, and the Government’s vision for making Togo an emerging economy in 15 to 20 years, as well as making it a country that respects human rights and promotes the rule of law. The return of political stability and peace to the country created a favorable environment for better governance, resumption of international assistance, and significant reduction in exterior public debt. The Government’s medium-term economic policy for 2013–2017 will essentially be used to build and consolidate the foundations for Togo’s future economic emergence. The focus will be on new priorities: boosting growth; employment and inclusion; strengthening governance; and reducing regional disparities and promoting grassroots development. Designing a national land-use plan will territorialize development by creating a more balanced national economic space. The new land-use scheme will be based on dynamic, competitive, regional economies in which the urbanization of regional capitals and secondary towns is sufficiently controlled to allow true development hubs to emerge.
Depuis plusieurs années, le FMI publie un nombre croissant de rapports et autres documents couvrant l'évolution et les tendances économiques et financières dans les pays membres. Chaque rapport, rédigé par une équipe des services du FMI à la suite d'entretiens avec des représentants des autorités, est publié avec l'accord du pays concerné.
In recent years, the IMF has released a growing number of reports and other documents covering economic and financial developments and trends in member countries. Each report, prepared by a staff team after discussions with government officials, is published at the option of the member country.
The first Annual Progress Report (APR) of Togo highlights many of the reforms implemented during the first year of the Poverty Reduction Strategy Paper (PRSP) while recognizing some weaknesses and implementation constraints. It draws attention to important advances in macrocritical structural reforms, notably in the areas of public financial management; fiscal governance; domestic arrears clearance to private suppliers; and banking sector restructuring. It also presents a macroeconomic framework consistent with the one agreed under the fifth Extended Credit Facility (ECF) review mission. It is recommended that the next APR should elaborate more on the macroeconomic challenges and risks.
The Poverty Reduction Strategy Paper for Togo builds on the strategy laid out in the Interim Strategy for Poverty Reduction (I-PRSP). Owing to circumstances largely beyond the control of the authorities, the results obtained under the implementation of the I-PRSP have been below expectations. The hike in oil and food prices and the severe flooding in 2008, and the global recession in 2009 have adversely impacted the performance of the Togolese economy, dragging down growth just as it has been poised to improve in response to the economic program.
This paper focuses on Togo’s Poverty Reduction Strategy. The Interim Poverty Reduction Strategy Paper adopted by the government in March 2008 has allowed Togo once again to benefit from international financial cooperation. With a view to improving political and economic governance, the government continued the ongoing process of national reconciliation and political reform, strengthening the rule of law and the security of persons and property, and implementation of institutional reforms. The government has introduced reforms designed to improve governance in nonperforming state enterprises and in the banking sector.
This paper reviews the Annual Progress Report (APR) on Poverty Reduction Strategy Paper (PRSP) on Benin. The APR presents an overview of the implementation of the strategy addressing in turn the new vision of development in Benin, the major projects initiated for the creation of national wealth and the situation of poverty, and the achievement of the Millennium Development Goals in Benin. The APR also focuses on the level of implementation of the strategy, and deals with the monitoring of the macroeconomic and budgeting framework.