Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State
The Central African Republic (CAR) economy continues on a downward path. With an average GDP growth per capita of -0.8 percent, CAR has not experienced an episode of sustained growth since its independence. Economic growth in CAR slowed to 3.7 perc...
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World Bank, Washington, DC
2019
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| Online Access: | http://documents.worldbank.org/curated/en/380841574268248141/Central-African-Republic-Economic-Update-Strengthening-Domestic-Revenue-Mobilization-to-Sustain-Growth-in-a-Fragile-State http://hdl.handle.net/10986/32793 |
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okr-10986-327932021-05-25T09:29:54Z Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State World Bank Group TAX REVENUE ECONOMIC GROWTH ECONOMIC OUTLOOK FRAGILITY MONETARY POLICY FISCAL TRENDS EXTERNAL SECTOR TRADE REVENUE MOBILIZATION TAXATION The Central African Republic (CAR) economy continues on a downward path. With an average GDP growth per capita of -0.8 percent, CAR has not experienced an episode of sustained growth since its independence. Economic growth in CAR slowed to 3.7 percent in 2018 as renewed insecurity inhibited economic activity, disrupted agricultural, forestry, and mining production, and delayed investment projects. Inflation declined to 1.6 percent in 2018 and should reach the CEMAC convergence criterion in the medium term as manufacturing and food prices dropped. The debt-to-GDP ratio continues to decrease and should reach 49 percent in 2018, with an overall balance including grants of 0.4 percent of GDP. However, government revenue remains below its pre-crisis level. The current account deteriorated slightly at 7.8 percent of GDP in 2018 as imports continue to soar. CAR’s external position should improve in the medium-term. CAR’s economic prospect is positive with the signing of the Political Agreement for Peace and Reconciliation in the Central African Republic in February 2019 and projected to grow at 4.8 percent in the medium-term. The primary risk for CAR is the possible escalation of violence that will undermine the government’s ability toprovide basic services. This is the second edition in a series of Central African Republic Economic Updates. The series will analyze evolving economic trends in CAR on an annual basis to assist the government and its development partners to identify emerging opportunities and address persistent challenges. The editions are prepared for the World Bank Spring Meetings in April. Each edition presents an overview of CAR’s evolving macroeconomic position, followed by a detailed exploration of a specific topic. The objectives of the series are to strengthen the analytical underpinnings of development policy in CAR and contribute to an informed debate on policy options to enhance macroeconomic management and accelerate progress on the twin goals of eliminating extreme poverty and promoting shared prosperity in a context of state fragility. 2019-12-05T21:51:26Z 2019-12-05T21:51:26Z 2019-11 Report http://documents.worldbank.org/curated/en/380841574268248141/Central-African-Republic-Economic-Update-Strengthening-Domestic-Revenue-Mobilization-to-Sustain-Growth-in-a-Fragile-State http://hdl.handle.net/10986/32793 English CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work Economic & Sector Work :: Economic Updates and Modeling Africa Central African Republic |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
TAX REVENUE ECONOMIC GROWTH ECONOMIC OUTLOOK FRAGILITY MONETARY POLICY FISCAL TRENDS EXTERNAL SECTOR TRADE REVENUE MOBILIZATION TAXATION |
| spellingShingle |
TAX REVENUE ECONOMIC GROWTH ECONOMIC OUTLOOK FRAGILITY MONETARY POLICY FISCAL TRENDS EXTERNAL SECTOR TRADE REVENUE MOBILIZATION TAXATION World Bank Group Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State |
| geographic_facet |
Africa Central African Republic |
| description |
The Central African Republic (CAR)
economy continues on a downward path. With an average GDP
growth per capita of -0.8 percent, CAR has not experienced
an episode of sustained growth since its independence.
Economic growth in CAR slowed to 3.7 percent in 2018 as
renewed insecurity inhibited economic activity, disrupted
agricultural, forestry, and mining production, and delayed
investment projects. Inflation declined to 1.6 percent in
2018 and should reach the CEMAC convergence criterion in the
medium term as manufacturing and food prices dropped. The
debt-to-GDP ratio continues to decrease and should reach 49
percent in 2018, with an overall balance including grants of
0.4 percent of GDP. However, government revenue remains
below its pre-crisis level. The current account deteriorated
slightly at 7.8 percent of GDP in 2018 as imports continue
to soar. CAR’s external position should improve in the
medium-term. CAR’s economic prospect is positive with the
signing of the Political Agreement for Peace and
Reconciliation in the Central African Republic in February
2019 and projected to grow at 4.8 percent in the
medium-term. The primary risk for CAR is the possible
escalation of violence that will undermine the government’s
ability toprovide basic services. This is the second edition
in a series of Central African Republic Economic Updates.
The series will analyze evolving economic trends in CAR on
an annual basis to assist the government and its development
partners to identify emerging opportunities and address
persistent challenges. The editions are prepared for the
World Bank Spring Meetings in April. Each edition presents
an overview of CAR’s evolving macroeconomic position,
followed by a detailed exploration of a specific topic. The
objectives of the series are to strengthen the analytical
underpinnings of development policy in CAR and contribute
to an informed debate on policy options to enhance
macroeconomic management and accelerate progress on the twin
goals of eliminating extreme poverty and promoting shared
prosperity in a context of state fragility. |
| format |
Report |
| author |
World Bank Group |
| author_facet |
World Bank Group |
| author_sort |
World Bank Group |
| title |
Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State |
| title_short |
Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State |
| title_full |
Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State |
| title_fullStr |
Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State |
| title_full_unstemmed |
Central African Republic Economic Update, November 2019 : Strengthening Domestic Revenue Mobilization to Sustain Growth in a Fragile State |
| title_sort |
central african republic economic update, november 2019 : strengthening domestic revenue mobilization to sustain growth in a fragile state |
| publisher |
World Bank, Washington, DC |
| publishDate |
2019 |
| url |
http://documents.worldbank.org/curated/en/380841574268248141/Central-African-Republic-Economic-Update-Strengthening-Domestic-Revenue-Mobilization-to-Sustain-Growth-in-a-Fragile-State http://hdl.handle.net/10986/32793 |
| _version_ |
1764477308870066176 |