Abidjan: Tax revenues are proving to be a significant catalyst for fostering more inclusive growth in Côte d'Ivoire, as highlighted in the latest report titled "A Catalyst for Productivity and Economic Transformation." The document delves into the nation's recent economic strides and offers a comprehensive analysis of ongoing tax reforms and their potential implications for development.
According to World Bank, Côte d'Ivoire is demonstrating considerable economic resilience with a projected growth rate of 6% in 2024, surpassing both the global average of 2.8% and the regional average of 3.2%. This robust growth is bolstered by private investment, a dynamic services sector, and controlled inflation pegged at 3.5%. The country has also made strides in improving its fiscal health, reducing the fiscal deficit from 5.2% in 2023 to 4% in 2024, while maintaining a sustainable public debt level of approximately 60% of GDP.
Despite a decline in poverty, achieving the target of reducing poverty from 36.5% to 20% by 2030 requires a shift towards a more inclusive growth model. This model would focus on enhancing productivity, creating more employment opportunities, and strengthening tax revenue mobilization. The medium-term economic outlook for Côte d'Ivoire remains positive, with growth anticipated to reach 6.2% in 2025 and averaging 6.4% through 2027. Key growth drivers include the hydrocarbons, services, and private investment sectors. However, the report warns of significant risks, including geopolitical instability, climate change, trade tensions, and developments in development assistance.
The report advocates for a transformation of the growth model, emphasizing productivity, human capital, private investment, and efficient taxation. This approach aims to build a more inclusive, competitive, and sustainable economy for Côte d'Ivoire.
The World Bank's report, "Tax Revenue Mobilization: A Catalyst for Productivity and Economic Transformation," forms part of its biannual series on Côte d'Ivoire's economic situation. This March 2025 edition, led by Djedje Hermann Yohou, features contributions from experts in economics, governance, poverty, and the private sector.