Madagascar Economic Update, January 2011 : Fiscal Policy - Managing the Present with a Look at the Future
At the end of 2010, the fiscal situation appears under control with a relatively small deficit estimated around 2 percent of Gross Domestic Product (GDP). This is good news in a country that still suffers from uncertainty about its political future...
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| Format: | Report |
| Language: | English en_US |
| Published: |
Washington, DC
2017
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| Online Access: | http://documents.worldbank.org/curated/en/437881468087883912/Madagascar-economic-update-fiscal-policy-managing-the-present-with-a-look-at-the-future http://hdl.handle.net/10986/27249 |
| Summary: | At the end of 2010, the fiscal situation
appears under control with a relatively small deficit
estimated around 2 percent of Gross Domestic Product (GDP).
This is good news in a country that still suffers from
uncertainty about its political future. Yet, this fiscal
stability was the result of a severe decline in public
spending that accumulated for only 12 percent of GDP-one of
the lowest ratios in the world. The weak share of public
investment has become especially alarming, because it may
further exacerbate the existing deficiencies in both
physical and human capital that are observed in Madagascar.
This development raises the fundamental questions about the
conduct of future fiscal policy and its contribution to
economic growth. |
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