Djibouti: Selected Issues
IMF Staff Country Reports, June 4, 2024
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- Djibouti: Selected Issues
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Bibliographic details
- Published: June 4, 2024
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400277924.002
Overview and main finding
- The paper focuses on empowering diverse futures for Djibouti.
- Djibouti’s economy "grew at an unprecedented rate during the last decade," but this investment-led expansion "did not translate into tangible labor market’s improvements."
- The growth model is characterized as capital-intensive, which "limits job creation" and, combined with growing skill mismatches, has "increased structural unemployment."
Labor market diagnosis
- Capital-intensive investment-led growth has not produced broad-based employment gains.
- Growing skill mismatches in the labor market have contributed to structural unemployment.
- Access to education has "increased dramatically since the 2000s," but quality and relevance gaps remain.
Policy recommendations and priorities
- Improve the quality of education and expand vocational and adult learning to address skill mismatches.
- Step-up economic diversification to support development of more labor-intensive sectors and spread the benefits of growth more widely across the population.
- Design and implement adequate policy frameworks that foster job creation, grounded in complete and timely labor market data.
Data and implementation constraints
- The timely collection of labor market statistics is identified as a "key constraint for supporting decision-making and job creation."
- Frequent collection of basic labor market data, such as "the unemployment rate," is prioritized for policy design and implementation.
Thematic coverage (as presented in the paper)
- Corporate income tax
- International organization
- Labor
- Labor markets
- Monetary policy
- Personal income tax
- Revenue administration
- Taxes
Djibouti: Selected Issues — June 4, 2024
Content in this bundle
- Djibouti: Selected Issues; IMF Country Report No. 24/149; March 18, 2024