Good policies and technology will help Africa to become financially resilient

 
CONTINUER À LIRE
Good policies and technology will help Africa to become financially resilient
MARCH 23 | MARS 23 | #2019COM

                              52nd Session of the Economic Commission      52ème session de la Commission économique pour
                              for Africa Conference of African Ministers   l’AfriqueConférence des ministres africains des
                              of Finance, Planning and Economic            finances, de la planification et du développement
                              Development                                  économique

                              Fiscal policy, trade and the private         Politique budgétaire, commerce et secteur
                              sector in the digital era: a strategy        privé à l’ère du numérique : une stratégie
                              for Africa                                   pour l’Afrique

Good policies
and technology
will help Africa
to become
financially
resilient

There is an urgent need for Africa to put in place
the right fiscal policies to be able to sustainably
fund its growth and development initiatives, says
Executive Secretary of the ECA, Vera Songwe.
                                                         improve revenues by 6%, and South Africa
                                                         to improve collections by 22%.

                                                         “The big message we are sending out is that
                                                                                                                       21
                                                                                                                       Number of
                                                         Africa can improve revenue collection from                    ratifications
Despite fiscal reforms that raised revenue-              11% to 20% of GDP just by putting in place                    of the CFTA
to-GDP ratios to an average of more than 15%             better fiscal policies, improving tax collection,             to date – 22
between 2000 and 2017, a significant financing           stopping illicit financial flows and by using                 needed to
gap remains. This has to be narrowed if Africa is        digital technology to enhance revenue                         launch
to realise its Agenda 2063 ideals and meet the           collection. And we know how to do that.”

                                                                                                                       3.4
deadline for the United Nations 2030 Agenda,
which is now just a little over a decade away,           “We also know that the problem of how we
she said.                                                raise the financing lies with us. Our leadership
                                                         can make the decision to actually address a
It is against this background that the 2019              substantial part of the problem.”
                                                                                                                       PERCENT
                                                                                                                       Africa’s
Conference of Ministers is being held. “One                                                                            expected
of the big conversations that we have on the             Songwe believes that the youth and women                      growth
continent is the need for [budget] financing.            are a key demographic to maximise the                         in 2019
The question is why Africa always needs to, and          potential of digital technology for better

                                                                                                                       33
goes outside, to raise this money.”                      economic performance. “We know that Africa
                                                         is a hub of innovation, a hub of excitement, a
“This week, we will be looking at how countries          hub of activity. “The beauty with digital is that
that have had good policies, good governance             you can leapfrog and do so quickly. Africa can
and good public administration have actually             do so even faster.                                            Number
raised revenues, even without necessarily                                                                              of African
taxing more.”                                            “What is exciting and important about our                     nations
                                                         conversations here is how we can and should                   classified
One of those countries, she said, is Morocco                                                                           as least
                                                         do things quickly because we are behind.
                                                                                                                       developed
where the tax-to-GDP ratio is already at 25%.            We are late. We are growing at 3%. We should
                                                                                                                       countries
A move to digitisation has enabled Rwanda to             be growing at 10%.”
Good policies and technology will help Africa to become financially resilient
COM 2019          MARCH 23             MARS 23                                                                      #2019COM

De bonnes stratégies politiques et                                                    Coming up at
technologiques aideront l’Afrique à                                                   COM2019
devenir résiliente financièrement                                                     Events to look out for in the next
                                                                                      few days.

                                                                                      Launch of the Economic Report on
                                            Nous savons également                     Africa 2019
                                                                                      Saturday 23
                                            que la manière dont                       This provides an assessment of fiscal
                                            nous réunissons les                       policy in Africa with an analysis of
                                                                                      challenges and opportunities as well as
                                            fonds nous incombe                        best practices.

                                                                                      Briefing on Regional Integration in
                                                                                      Africa
                                                                                      Saturday 23
                                                                                      The session will assess regional
                                                                                      integration, looking at next steps for
                                                                                      the African Continental Free Trade
Vera Songwe, secrétaire exécutive           « Le message principal que nous           Area as well as the African Regional
de la CEA, considère qu’il est              voulons faire passer est que l’Afrique    Integration Index report for 2019. With
urgent que l’Afrique use de bonnes          peut améliorer la collecte des recettes   the CFTA almost a reality, this is a timely
politiques budgétaires pour financer        de 11% à 20% du PIB, simplement en        discussion.
durablement ses initiatives de              pratiquant de meilleures politiques
croissance et de développement.             budgétaires, en améliorant la collecte
                                            des impôts, en mettant fin aux flux       Digital trade in Africa
Malgré des réformes fiscales, qui           financiers illicites et en utilisant      Saturday 23
ont porté le ratio recettes fiscales/       la technologie numérique pour             The digital revolution that Africa is
PIB à plus de 15% en moyenne, entre         améliorer la collecte des recettes. Et    experiencing will be disruptive for the
2000 et 2017, un important déficit          nous savons comment faire cela. »         continent and it will have implications
de financement subsiste. Il doit être                                                 for not just economies but plans for
réduit pour que l’Afrique puisse            « Nous savons également que la            building inclusive economies. The
réaliser ses objectifs de l’Agenda 2063     manière dont nous réunissons les          session will unpack pertinent issues
et respecter l’échéance fixée pour le       fonds nous incombe. Nos dirigeants        relating to the Fourth Industrial
Programme 2030 des Nations unies,           ont la possibilité de s’attaquer à la     Revolution.
a-t-elle déclaré lors de la Conférence      majeure partie du problème. »
des ministres de la CEA 2019.
                                            Vera Songwe est convaincue que les        Planning for the workforce
«L’une des grandes discussions que          jeunes et les femmes sont le vecteur-     of tomorrow
nous avons sur le continent tient           clé pour maximiser le potentiel de la     Sunday 24
dans le besoin de financement               technologie numérique, en vue d’une       A look at the state of African education
[budgétaire]. La question est de savoir     meilleure performance économique.         and training and the future of work. Is
pourquoi l’Afrique a toujours besoin                                                  Africa ready to
de sortir du continent pour récolter        « Nous savons que l’Afrique est un        go forward?
cet argent. »                               centre d’innovation, d’enthousiasme,
                                            d’activités. L’avantage du numérique
«Cette semaine, nous examinerons            réside dans le fait que nous pouvons      2019 Adebayo Adedeji Lecture
comment les pays qui ont adopté             agir de façon accélérée. L’Afrique peut   Monday 25
de bonnes politiques, une bonne             le faire encore plus rapidement. »        This important annual event will,
gouvernance et une bonne                                                              this year, look at the topic: The digital
administration publique, ont généré         « Ce qui est stimulant et important       transformation of Africa–hype or
des recettes de façon efficace, sans        dans nos conversations ici, c’est         reality? It is not to be missed.
nécessairement taxer davantage.»            de voir comment nous pouvons et
                                            devons faire les choses rapidement,
Le Maroc est l’un de ces pays : le          parce que nous sommes en retard.          For more information on these
ratio impôts/PIB est déjà de 25%. Au        Nous sommes en retard. Notre              and other events, see the website
Rwanda, le passage à la numérisation        croissance est de 3%. Nous pourrions      www.uneca.org/cfm2019
a permis à l’Etat d’augmenter ses           atteindre 10% ! »
revenus de 6% ; en Afrique du Sud, il a
permis d’améliorer la collecte de 22%.
Good policies and technology will help Africa to become financially resilient
COM 2019          MARCH 23             MARS 23                                                                  #2019COM

     ECA – 60 YEARS IN STEP WITH AFRICAN DEVELOPMENT

  The Economic
1958       ECA – 60 YEARS    Commission
  for Africa
2018       IN STEPcomes   WITH   to life
  As the ECA celebrates its 60th year, the newsletter will be carrying
                AFRICAN DEVELOPMENT
     a page every day on an aspect of the organisation. Today, we look
     at the ECA’s early history

      The United Nations Economic and            opia, Ghana, Liberia, Morocco, Sudan,     African Unity in 1963, it was one of the
     Social Council (ECOSOC) established         Tunisia and Egypt – ECOSOC, after         regional forums for waging battles for
     the Economic Commission for Africa          considering their views, established      economic progress on the continent
     (ECA) in 1958 in an effort to support       the Commission on 29 April 1958.          and standing against colonialism,
     African Governments to increase eco-                                                  racism and racial exploitation.
     nomic activity and improve the living       The first session of the Commission
     standards of their citizens.                was held in its new headquarters in       Sixty years on, the Commission
                                                 Addis Ababa, from 29 December 1958        continues to promote economic and
     Upon gaining independence, Ghana            to 6 January 1959, and was attended       social development in Africa, with a
     sponsored a draft resolution, which         by the then Secretary-General of the      focus on collecting up-to-date and
     28 other countries supported, for the       United Nations, Dag Hammarskjöld.         original regional statistics on various
     establishment of the ECA. After a                                                     economic and social aspects to help
     protracted campaign in the United           The ECA was Africa’s first internation-   African Governments base their policy
     Nations General Assembly, backed            al, continent-wide organisation. For      research and advocacy on objective
     by other African countries that had         five years from its establishment to      evidence.
     already gained independence - Ethi-         the founding of the Organization of

     1958-1968                                   1968-1978                                 1978-1988
     The First Decade:                           The Second Decade                         The Third Decade

     INSTITUTIONAL                               REGIONAL ECONOMIC                         ARTICULATING AND
     DEVELOPMENT                                 CO-OPERATION AND                          ADVOCATING A
     The first decade coincided with             INTEGRATION                               COLLECTIVE RESPONSE
     the independence of the majority
                                                 During the second decade, the ECA         TO AFRICA’S CRISES
     of countries in Africa and during
     this time, the ECA placed special           focused on promoting continued            Owing to a marked deterioration
     emphasis on laying the foundations          human resource development, eco-          in the socioeconomic conditions
     for institutional and human resource        nomic cooperation and integration,        of Africa and a need for a unique
     development in Africa. It also              industrialisation, natural resources      African response and solution to the
     promoted the creation of numerous           development, population, social           situation, the third decade focused on
     regional and sub-regional institutions,     development (almost exclusively in        conceptualizing key economic and
     such as the African Development             relation to problems affecting women      social strategies and programmes,
     Bank. It also established its own sub-      in development), international trade,     which made up the policy framework
     regional offices: in Niamey, Niger, for     finance, agriculture, transport and       for Africa’s socioeconomic
     West Africa in 1963; Tangiers, Morocco,     communications.                           development.
     for North Africa in 1963,; Lusaka in
     Zambia for East and Southern Africa                                                   These included the Lagos Plan of
     in 1964; and Kinshasa for Central                                                     Action, the United Nations Transport
     Africa in 1965.                                                                       and Communications Decade in Af-
                                                                                           rica and the Industrial Development
                                                                                           Decade for Africa.
Good policies and technology will help Africa to become financially resilient
COM 2019   MARCH 23   MARS 23        #2019COM

Getting down to business @ COM 2019
Good policies and technology will help Africa to become financially resilient
COM 2019   MARCH 23   MARS 23                #2019COM

Tweets

                                 JOIN THE CONVERSATION
                                              #2019COM
Good policies and technology will help Africa to become financially resilient
COM 2019             MARCH 23              MARS 23                                                                        #2019COM

  THE HOST                                                                                       Le Maroc en tête
  Spotlight on Morocco                                                                           des destinations
                                                                                                 d’investissement
                                                                                                 En 2018, le Maroc a été désigné
   4th most competitive country in Africa                                                        destination d’investissement
                                                                                                 la plus attrayante en Afrique
   Source: Global Competitiveness Index: WEF 2018
                                                                                                 par Quantum Global Research
   Average 2012-2017                                                                             Lab, branche indépendante de
                                                                                                 recherche, filiale de la société
                                                                                                 d’investissement Quantum Global.

                                                                                                 Quantum classe le Maroc en tête
                                                                                                 de son indice d’investissement
                                                                                                 en Afrique 2018 en raison de sa
                                                                                                 forte croissance économique,

    3.1%
    GDP Growth
                           7.6%
                            FDI Inflow
                                                         1.4%
                                                         Inflation rate
                                                                            9.7%
                                                                          Unemployment
                                                                                                 de sa position géographique
                                                                                                 stratégique, de ses niveaux élevés
                                                                                                 d’investissement étranger direct,
                                                                                                 de sa faible dette extérieure et de
                             Growth                                           rate
                                                                                                 son environnement commercial
                                                                                                 favorable.

  Morocco is one of the most modern                 These are with the United Arab               En 2018, Rand Merchant Bank a
  economies in Africa. It is rapidly                Emirates, Arab-Mediterranean                 également classé le pays parmi
  becoming an attractive platform                   Countries, Turkey and the United             les plus attractifs en Afrique. Dans
  for international investors and it is a           States, while it has various                 son rapport, Où investir en Afrique
  strategic regional hub. The country               agreements with the European                 2018, le groupe bancaire sud-
  is not only at the crossroads of the              Union. It has pending agreements             africain signale que le classement
  main international routes, linking                with UEMOA & CEMAC countries                 est le résultat des importantes
  the US, Europe, Africa and the                    as well as Canada.                           réformes économiques et des
  Middle East, it also has a unique                                                              efforts soutenus du Maroc pour
  set of free trade agreements.                                                                  améliorer le climat des affaires.

ECA programme priorities for 2020
Giovanie Biha, Deputy Executive                          business environment to address
Secretary of the ECA, outlined the                       challenges identified by member
priorities for 2020 at COM2019.                          states and ECA’s own studies
                                                         and focus on specific sectors,
They include:                                            particularly infrastructure.
•• Refining and customising the                     ••   Improving national statistical data
   prototype macroeconomic model.                        collection and availability.
   This includes a revision to go                        The ECA will support member
   beyond macroeconomic stability                        states to update and revise their
   and focus on growth in terms of                       statistics, with technical assistance
   national development plans.                           planned for 20 countries.
•• Managing the ratification,                       ••   Integrating climate resilience into
   domestication and implementation                      national development plans.
   of the Continental FTA.                          ••
   Biha said that despite the political
                                                          Increasing gender participation in
                                                         African economies and equity in
                                                                                                 We are going beyond
   will behind the CFTA, there is still                  national development plans.             stability and looking
   a lack of clarity about how the
   agreement will benefit countries.
                                                    ••   Facilitating orderly and well           at growth in terms
                                                         managed and planned migration
   In 2020, the ECA will intensify its                   policies in Africa.                     of national
   support in this regard.
                                                         This will focus on West Africa,         development plans
•• Driving private sector development                    which has a combination of high
   across a range of sectors.                            population growth and serious
   This will include strengthening the                   climate challenges.
Good policies and technology will help Africa to become financially resilient
COM 2019     MARCH 23     MARS 23                                                              #2019COM

                              1. Fiscal Policy Options                4. Tax Administration Options
    African                   Anchoring fiscal policy to national     Digitising tax administration systems
  countries can               medium-term financing strategies        could increase revenue mobilisation.
increase government           could allow African countries to
                              leverage the full potential of all
                                                                      Countries that digitise their tax
                                                                      administration increased compliance
revenue by 12-20% of          government revenue – tax and            rates and saved on compliance costs.
 GDP by strengthening         non-tax – for accelerated and           The rollout of digital technologies
                              sustained growth, underpinned           needs to be accompanied by capacity
            revenue           by macroeconomic stability.             building for policy makers and tax
            mobilization                                              collection on how to take advantage
                                                                      of data generated through digitisation
             in six key       Fiscal policy must be aligned with
                                                                      for more efficient assessments.
                              the business cycle, improving
             areas            revenue mobilisation and reducing
                              spending to curb supply side            5. Policy Options for the
                              pressures while lowering taxes
                              and increasing spending when            Natural Resources Sector
                              economic activity slows.                African countries should strengthen
                                                                      their oversight of the natural
                                                                      resources sector. They could
                              2. Tax Policy Options                   consider a more equitable and less
                                                                      administratively challenging approach
Policy options
                              African governments must widen
                              the tax base by bringing hard-to-       to assessing the share of multinational
                              tax sectors into the net, including     companies’ profits to tax or they could

to increase                   agriculture, the informal economy,
                              the digital economy and the natural
                                                                      base tax on variables that are harder
                                                                      to manipulate than corporate income.

government                    resources sector. Countries must
                              reassess tax incentives and drop
                                                                      At the same time, governments need
                                                                      to close loopholes to thwart base

revenue                       those that do not serve their           erosion and profit shifting
                              intended purpose.
In its Economic Report on                                             6. Debt policy options
Africa 2019, launched in      3. Non-tax Revenue Options              The new dynamics of public
                                                                      debt in Africa call for effective
Marrakesh today, the ECA      Investing in better data collection
                                                                      debt sustainability strategies and
                              methods and implementation could
looks at policy options       strengthen monitoring of non-           frameworks. These include ways
to increase government        tax revenue and evasion. Non-tax        to improve revenue mobilisation
                              revenue collection can be enhanced      in order to enhance debt servicing
revenue and provide           by building strong institutions with    and reduce long-term borrowing,
sustainable financing         high levels of expertise, building      promote local currency-denominated
                              new infrastructure and establishing     debt instruments, and enhance the
for the continent’s                                                   capacity for improved assessment of
                              effective co-ordination between
development                   central and local governments.          public debt risks and sustainability.

Global economic                  2017                                2018
growth a    nd
favourable domestic
conditions supported         3.4%                                  3.2%
 Africa’s economic
  performance, but
   progress on social                      ECONOMIC GROWTH

   development has                                                               Progress
   been slow                               underpinned by                        Poverty
                                                                                 Health
                                             SOLID GLOBAL GROWTH
                                                                                 Education

                                Moderate increase          Favourable            Inclusive Growth
                               in commodity prices      domestic conditions
                                                                                 Social Development
Good policies and technology will help Africa to become financially resilient
COM 2019           MARCH 23              MARS 23                                                               #2019COM

 The Business of Africa: Views & Insights

                                            Zouhair Chorfi                           Lilia Naas Hachem
                                            Secretary General, Ministry              Director, SRO, Northern
                                            of Economy and Finance,                  Africa, ECA
                                            Morocco
                                                                                     This event is important because it
                                            C’est une conférence importante          is the biggest gathering of African
                                            compte tenu des thèmes qui ont été       finance ministers and ministers of
                                            retenus et également de la qualité       economy and planning These are
                                            des participants. Nous avons trois       the key people that take decisions
                                            jours pour préparer la réunion au        and decide on the future and the
                                            niveau des ministres et de débattre      vision for the future.
                                            de trois questions essentielles que
                                            sont bien sûr la question budgétaire,
Oliver Chinganya                            la question du renforcement des
                                            échanges commerciaux, le rôle du
Director of the African
                                            secteur privé et tout ça compte tenu
Centre for Statistics, ECA                  des perspectives que nous offrent les
                                            technologies de l’information.
One aspect that came out very
clearly in the discussions is about
the availability of data at country         Joseph Atta Mensa
level and the need for countries to         Principal Policy Advisor,
invest a little bit more in statistics.     Capacity Development, ECA                Eskedar Nega
                                            We are just hoping that at the end       Chief, Evaluation Section, ECA
                                            of the conference we, together with
                                            the member states, are able to come      This has been an opportunity to
                                            up with a guide to what the optimal      show a video and infographics
                                            policy interventions should be on the    on what our partners and
                                            continent in order to advance the        member states think about ECA’s
                                            Africa that we want.                     interventions, where they tell us
                                                                                     how to improve on our interventions
                                                                                     and what we can do better and
                                                                                     what we can do differently to be
                                                                                     more relevant, effective and fit for
                                                                                     purpose to deliver on Agenda 2030
                                                                                     and Agenda 2063.

                                                                                                        Thank you to the
              PUBLISHERS                    EDITOR                        EDITORIAL CONTRIBUTORS
                                                                                                        contributions of:
              IC PUBLICATIONS               Dianna Games                  Afif Ben Yedder
              7 Coldbath Square             gamesdianna@gmail.com         Omar Ben Yedder
                                                                                                        ECA
              London EC1R 4LQ                                             reGinaJane Jere
                                                                                                        Communication
                                            ART DIRECTOR                  Shoshana Kedem
                                                                                                        Team
              609 Bat A. 77 rue Bayen       Karishma Mehta
              75017 Paris                                                 PROOFREADER
                                            TRANSLATION                   Laurent Soucaille
              www.icpublications.com        Constance Haasz
Good policies and technology will help Africa to become financially resilient Good policies and technology will help Africa to become financially resilient
Vous pouvez aussi lire