Race to the Next Income Frontier: How Senegal and Other Low-Income Countries Can Reach the Finish Line

Books, April 4, 2018

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Canonical URL: Race to the Next Income Frontier: How Senegal and Other Low-Income Countries Can Reach the Finish Line

Book draws on 18 chapters examining policy lessons from successful countries that reached upper-middle-income emerging market economy status.
Central analytical objective: examine how Senegal can achieve per capita growth rates of four to five percent per year over a 20-year period, and draw lessons for other low-income countries.
Contributors include academics, civil society, government in Senegal, World Bank, peer countries (Mauritius, Morocco, Seychelles), and the International Monetary Fund.

Per capita growth target: four to five percent per year over a 20-year period.
Emphasis on achieving high, sustained, and inclusive growth.
Discussion of what it means to be an upper-middle-income emerging market economy in the Senegalese context.
Focus on Senegal's industrial framework and the Plan Senegal emergent growth targets.
Social inclusion and protection examined as part of inclusive growth dimensions.

Fiscal framework
- Create a sound, balanced, and efficient fiscal framework through:
- New revenue-raising measures.
- Expenditure rationalization.
- More efficient public investment.
- Address revenue mobilization, public expenditure efficiency and rationalization, and debt sustainability.
Financial sector
- Promote an inclusive and deeper financial sector.
- Make Senegal's financial system more stable, deeper, and more inclusive in the context of the West African Economic and Monetary Union.
Private sector and investment climate
- Relieve constraints on doing business.
- Promote private investment, including foreign direct investment.
Structural reform and implementation
- Address aspects of structural reform in the country and ways to implement reforms to achieve growth.
Social policies
- Integrate social inclusion and protection measures into the growth strategy.

Macroeconomic environment of Senegal.
Industrial policy and growth targets under Plan Senegal emergent.
Balance between revenue mobilization and expenditure rationalization to ensure debt sustainability.
Financial inclusion and financial market development in a regional monetary union context.
Role of foreign direct investment and enterprise development.
Governance, political economy constraints, and modalities for overcoming them to reach upper-middle-income status.