Uruguay has made remarkable progress over the past decade. Stable macroeconomic policies and a favourable external environment have permitted brisk growth and the financing of social policies. Substantial improvements in several dimensions of human well-being have occurred during this period, alongside considerable reductions in external risks. The conditions ahead, however, may present challenges to maintaining performance. Overcoming these challenges will require finding the appropriate balance between long run objectives and macroeconomic and fiscal stability.
One of the main obstacles to economic growth is the insufficient and inadequate provision of human capital and skills. A number of challenges remain for education, which, together with fiscal policy, are key means of reducing inequalities and sustaining economic growth. In addition, Uruguay needs to address labour shortages to avoid constraints on future growth, especially as exports become more skills-intensive. It is important to orient social policies and expenditures towards the most vulnerable groups.
Myanmar’s success in achieving stable and sustainable growth will depend vitally on its ability to develop the institutional and social capital necessary to maintain macroeconomic and financial stability, to ensure the rule of law, to achieve environmentally sustainable development and to create an enabling environment for the private sector. To be sustainable, growth also needs to be more equitable and inclusive. Seizing the momentum created by the country’s opening and internal peace process will be imperative.
Moreover, Myanmar’s increasing population provides a demographic dividend which needs to be reaped in the next couple of decades to boost the potential of the economy. After that, the population will begin ageing and Myanmar risks getting old before the incomes and living standards of its people can significantly improve.
Chapter 1. Myanmar at a crossroad
Chapter 2. Achieving stable and sustainable development
Chapter 3. For more inclusive growth and equitable opportunities
Building on an initial assessment of constraints to development in Myanmar (Volume 1), this second volume provides analysis and policy recommendations in three key areas: structural transformation, education and skills, and financing development.
It finds that Myanmar faces a crucial few years to shape growth towards a higher, more sustainable and equitable trajectory. To succeed, it will require a transformation of the economy from an agrarian base reliant on small-scale agriculture at present towards a broad range of modern activities. Building up the right skills in the workforce will be essential to support this structural transformation.
Myanmar’s transformation will also depend upon how effectively the country can mobilise and allocate the financial resources needed to support its development, which could amount to as much as an additional 5-10% of GDP on average over the next two decades.
Chapter 1. Assessment and recommendations
Chapter 2. Structural transformation towards a modern economy: Upgrading agriculture, manufacturing and services
Chapter 3. Filling the skills gap in Myanmar
Chapter 4. Providing the financial resources to support development
|Cote d’Ivoire (forthcoming)||
In 2013 Cote d’Ivoire’s economy expanded by an impressive 8.8% boosted by major public works and private investment as the country recovered from a post-election crisis. Serious structural reforms are however needed to make this growth inclusive and long-lasting. Creating jobs for the country’s large young population is a key challenge for policy makers as well as building a workforce that corresponds better with the needs of businesses. Less rigid customs procedures, a simpler taxation system, a better business climate and improved infrastructure would be beneficial for growth as they would enhance the country’s national competitiveness. Cote d’Ivoire has a wealth of natural resources which represent key opportunities for growth in many dimensions particularly through the development of global value chains.”
Peru has experienced robust and very high economic growth in the previous years in comparison to OECD and other Latin American countries. Monetary and fiscal policies are credible and stable, poverty rates have fallen substantially, and access to basic services such as education and health have improved.
Peru faces bottlenecks in various policy areas that constrain its ability to tackle high levels of inequalities and to boost productivity. The country still has substantial challenges in relation to governance, in particular at the sub-national level, and to economic diversification. Citizens report very low levels of confidence in key institutions such as the judiciary, and tax revenues are below what they should be given the country’s level of development.
The size of the informal sector and the large percentage of the population in vulnerable employment represent important challenges that the country must confront. In addition, better access to transport infrastructure and improvements in the quality of skills and education are major weaknesses of the Peruvian economy that need to be overcome to further development.
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