Economic Report on Africa 2019

Fiscal Policy for Financing Sustainable Development in Africa

image of Economic Report on Africa 2019

The 2019 edition of the Economic Report on Africa explores the intricate terrain of revenue collection on the continent and makes salient recommendations to help African countries attain the SDGs and the aspirations of Agenda 2063 by expanding their fiscal space and how. It identifies several quick wins in Africa’s pursuit of additional fiscal space to finance achievement of the SDGs and the aspirations of Agenda 2063. The Report calls on African countries to stabilize the macroeconomic environment, it advises against using competitive tax breaks for attracting international companies, and calls on African countries and their global partners to muster external public and private resources, at the same time, urges countries to pay attention to debt sustainability issues.



Multinational corporations, tax avoidance and evasion and natural resources management

Non-renewable natural resources are an important source of revenue for many African countries. Challenges in government oversight, loopholes in national tax policies and the challenges of applying the arm’s length principle have led to widespread tax avoidance and engagement in illicit financial flows by multinational corporations, which dominate the sector. Generous tax incentives and fiscal stability clauses further undermine government revenue from natural resources.


This is a required field
Please enter a valid email address
Approval was a Success
Invalid data
An Error Occurred
Approval was partially successful, following selected items could not be processed due to error