Bolstering the path out of the debt crisis in Africa through domestic resource mobilization
Year: 2023
Content-Type: Executive Summary
Description: This paper outlines a few policy suggestions that might aid African nations in strengthening fiscal capability and DRM. • An effective, equitable, transparent, and accountable system for the use of tax dollars is necessary for increased DRM to boost voluntary compliance. • Trade liberalisation and tariff-reduction initiatives may increase the need for funding to improve fiscal capacity. Thus, the required encouragement might be offered via the African Continental Free Trade Agreement. • A reliable database that enables the identification and location of people, businesses, or real estate properties on which to assess taxes is necessary for effective DRM. Therefore, nations must invest in well-managed property, company, and civil records in addition to effective address systems. • Given the vast number of subscribers, digital technology has a significant opportunity to strengthen DRM in Africa and also presents a chance for improved DRM. • The fact that many African nations still need to implement best practices in their tax administrations suggests that there is room for technology transfer and capacity building in this sector and public financial management (PFM) more broadly.
Pages: 3 pages
Author: ONIMISI, PETER DANIEL
Categories: Developing countries, Finance, Policy / Governance, Public Sector, Publications, Risk
Tags: Africa, Policies, Public sector, Risk Management