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17 February - Resilience and the Role of Fiscal Policies and Institutions in SSA

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IMFA new paper by the IMF examines the role of fiscal policies and institutions in building resilience in sub-Saharan African countries. Based on the analysis of a sample of 26 countries from the region over the 1990-2013 period, the report finds that raising tax revenues and a higher spending in social sectors create conditions favourable to economic resilience.

This correlation is further examined through case studies of 7 fragile countries (Cameroon, Ethiopia, Mozambique, Niger, Nigeria, Rwanda and Uganda) with a history of conflict or civil unrest, illustrating how they were able to build resilience and exit fragility.