Benin: Staff Report for the Second Review and the Second-Year Program Under the Poverty Reduction and Growth Facility
IMF Staff Country Reports, November 20, 2001
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- Benin: Staff Report for the Second Review and the Second-Year Program Under the Poverty Reduction and Growth Facility
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Bibliographic details
- Published: November 20, 2001
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451803341.002
Executive summary and assessment
- Benin’s economic and financial performance under the first-year program supported by the poverty reduction and growth facility was satisfactory.
- The resumption of structural reform implementation is essential for the authorities to improve resource allocation and meet their objective of accelerating growth to 7 percent over the medium term.
- A broad consensus is emerging on the need to draw private expertise and capital into key public enterprises, either through privatization or different forms of public–private partnerships, to accelerate economic growth and improve service delivery.
Key findings and analysis
- Economic and financial performance in year one: characterized as satisfactory under the PRGF-supported program.
- Structural reforms: currently stalled or incomplete; resumption is presented as necessary to improve resource allocation.
- Growth objective: authorities target accelerating growth to 7 percent over the medium term.
- Private sector involvement: identified as a critical mechanism for accelerating growth and improving service delivery, via privatization or public–private partnerships.
Policy recommendations and priorities
- Resume and accelerate implementation of structural reforms to enhance resource allocation efficiency.
- Draw private expertise and capital into key public enterprises through:
- Privatization; and/or
- Different forms of public–private partnerships.
- Use private participation to improve service delivery and support the medium-term growth objective of 7 percent.