Development Centre

Côte d’Ivoire working to become an emergent economy by 2020, with the help of the OECD’s Multi-dimensional Country Review

 

Paris, 24 June 2016- The Multi-dimensional Reviews of Côte d'Ivoire - Vol. 1, Vol.2 and Vol. 3carried out by the Development Centre of the Organisation for Economic Co‑operation and Development (OECD), in close collaboration with the Ivoirian authorities, supports the formulation of the 2016-2020 National Development Plan (NDP) to help Côte d'Ivoire reach emergence by 2020. The Review identifies the main constraints to development and proposes an action plan for each one.

The Prime Minister of Côte d'Ivoire, Daniel Kablan Duncan, carried out an important working visit to the OECD’s headquarters in Paris today. On this occasion, he participated in a Special Session of the OECD Development Centre’s Governing Board and was officially presented with the three reports of the Review in the presence of the Minister to the Prime Minister's Office in charge of Economy and Finance, Adama Kone, and the Director of the OECD Development Centre, Mario Pezzini.

The Prime Minister also signed the memorandum of understanding on the monitoring and assessment of the Review’s action plan, thereby strengthening co-operation between the OECD Development Centre and Côte d'Ivoire. Under this agreement, the OECD Development Centre will monitor and assess the implementation of reforms during the period 2016-2020.

‌Since the end of the crisis in 2011, economic growth in Côte d'Ivoire has been buoyant, making the country a model for West Africa. However, addressing further challenges is key to achieve the expected improvement in the well-being of the Ivoirian people as well as in the areas of structural transformation and private sector competitiveness.

 

Photo: OECD/Hervé Cortinat

 
  Daniel Kablan Duncan, Prime Minister of Côte d'Ivoire with Mario Pezzini, Director of the OECD Development Centre. Photo: OECD/Hervé Cortinat  


According to the Review, industrialisation and diversifying Côte d'Ivoire’s economy towards higher value-added activities will contribute to sustainable and inclusive growth, and measures tailored to small and medium-sized enterprises (SMEs), innovation and the development of skills would significantly facilitate this process.

The strengthening of existing comparative advantages and sustainable integration into regional and global value chains require a better investment climate, the leveraging of high-quality standards and norms, increased competition and the realisation of the full economic potential of land resources.

Financing remains a major issue. The banking and financial sector needs to be improved and remains inaccessible to many companies, in particular SMEs. Moreover, the cost of financial intermediation – particularly lowering credit risk and improving the guarantee system – needs to be reduced. Simultaneously, capital volumes, especially long-term, need to be increased and the development of funding solutions other than bank loans should be encouraged.

According to the OECD report, the management of public finances needs to be strengthened and the level of public resources improved. A comprehensive reform of the tax system is identified as a key phase in the country’s emergence. The creation of a more modern tax system that is better aligned with the Ivoirian economy will require, in particular, a more productive tax administration and a wider, simplified tax base.

The country’s infrastructure, in steep decline after a decade of underinvestment, is sub-par and remains ill-suited to economic requirements. The Review recommends pursuing ongoing investments, strengthening access to key infrastructure (such as roads, ports, energy networks, information and communication technology), and ensuring its competitiveness and financial sustainability.

Lastly, the current education and qualifications system is insufficient to allow the long-term development of Côte d'Ivoire. To guarantee a competent workforce, improved performances are required at primary and lower secondary school levels, and an effective framework for technical training as well as viable adult literacy programmes need to be developed.

The important reforms carried out over recent years have enabled Côte d’Ivoire to make remarkable progress, which must now be consolidated. The momentum of reforms must be maintained and accelerated to meet the development objectives defined by the Côte d’Ivoire authorities.

Please contact Bochra.Kriout@oecd.org (+33 1 45 24 82 96) at the OECD Development Centre for further information or to request an electronic copy of the report.

 

About the preparation of the Multi-dimensional Review of Côte d'Ivoire:

Launched in September 2014, the Review was carried out by the Organisation for Economic Co‑operation and Development (OECD) in close collaboration with the Ivoirian government, which was consulted regularly at each phase of the process to discuss the main conclusions and to ensure the appropriateness of the recommendations regarding the country’s situation and background. The first phase, from September 2014 to February 2015, resulted in an initial assessment. It was followed by a phase of in-depth analysis and the formulation of policy recommendations, which ran from March to September 2015. During the final phase (September - December 2015), the OECD drew up an action plan, based on its recommendations, and a dashboard for tracking reforms that contains indicators with targets for the mid-term (2018) and 2020. The Review also contains timetables for actions to be completed between 2016 and 2020, examples of other countries’ successes in specific areas and cost estimates.



Find out more about the OECD’s Multi-dimensional Country Reviews