世界发展银行-Gabon-Public-Expenditure-Review-_-Improving-Spending-Quality-to-Foster-Inclusive-Growth_160页_4mb

Public Expenditure Review Summary: Gabon

Core Content

This report, titled Improving Public Spending Quality to Foster Inclusive Growth, is a Public Expenditure Review (PER) prepared by the World Bank for the Government of Gabon (GOG). It evaluates public expenditure trends, efficiency, and equity across key sectors such as education, social protection, and health, and offers recommendations to improve fiscal sustainability and service delivery.

Main Viewpoints

1. Fiscal Policy and Public Financial Management (PFM)

• Context: Gabon has faced significant fiscal challenges due to the 2014 oil price collapse, leading to a deep recession in the CEMAC region.
• Fiscal Trends: Public investment and the wage bill have been the largest budget categories, with public investment contributing significantly to GDP growth before the oil crisis.
• Fiscal Outlook: The fiscal deficit is expected to narrow from -2.3% of GDP in 2017 to -1.2% in 2018, but the government will need to maintain fiscal discipline to manage high public debt (64.2% of GDP in 2016).
• PFM Framework: Gabon has a legal and institutional framework for PFM, but implementation remains weak. The report highlights the need for stronger PFM to ensure transparency, accountability, and efficiency.
• Recommendations: Strengthen PFM by addressing regulatory gaps, promoting institutional ownership of the budget process, and improving procurement and investment management systems. Implement program-based budgeting and enhance financial information quality.

2. Non-Oil Revenue Mobilization

• Revenue Trends: Non-oil revenue has remained relatively stable at about 14% of GDP, while oil revenue dropped from 17.5% in 2012 to 7.1% in 2015.
• Taxation: The government has introduced reforms such as an electronic tax platform and improved customs procedures, but tax and customs administration remains inefficient.
• Challenges: Tax expenditures (exemptions, credits, etc.) significantly reduce public revenue and erode the tax base. These include domestic VAT, border tax, and corporate income tax (CIT) expenditures.
• Recommendations: Improve tax and customs collection, reduce tax expenditures, and enhance transparency and compliance in the tax system.

Key Information

3. Overall Expenditure Trends and Quality Analysis

• Public Investment: Public investment has been crucial for growth, but its quality and efficiency have been questioned. The government has allocated 40% of the budget to investment projects.
• Wage Bill: The wage bill is a major component of public spending, accounting for nearly half of the public-sector wage bill and almost a third of total government expenditures in 2015.
• Recommendations: Reduce funding for public administration and increase allocations to health, education, and social protection. Improve efficiency in public investment management and monitor arrears and debt.

4. Education

• Overview: Education spending has been relatively low compared to peer countries, with only 20% of total government expenditure directed to this sector.
• Efficiency Issues: There are inefficiencies in the education system, including high repetition rates, uneven distribution of resources, and low primary completion rates.
• Equity Issues: Disparities in access and quality exist across regions, income levels, and genders.
• Recommendations: Improve education efficiency and equity by enhancing resource allocation, reducing student-to-classroom ratios, and increasing teacher availability. Expand access to education and improve the quality of teaching and learning.

5. Social Protection

• Overview: Social protection spending has been limited, with a focus on cash transfers, subsidies, and in-kind transfers.
• Efficiency and Equity Issues: There are gaps in the coverage and effectiveness of social protection programs, particularly for the poorest households.
• Recommendations: Expand the safety-net system, improve the targeting and efficiency of cash transfers, and increase the role of social insurance and health insurance in poverty reduction.

6. Health

• Overview: Health spending has been low and inefficient, with challenges in service delivery and infrastructure.
• Efficiency Issues: The distribution of healthcare workers is uneven, and the quality of health services is below international standards.
• Equity Issues: Access to healthcare is limited, especially in rural areas, and there is a lack of transparency in health spending.
• Recommendations: Increase health spending, improve infrastructure and service delivery, and enhance transparency and accountability in the health sector.

Summary of Recommendations

• Public Financial Management: Strengthen PFM through regulatory reforms, institutional ownership, and improved transparency.
• Fiscal Consolidation: Continue fiscal discipline to manage debt and improve public spending efficiency.
• Resource Reallocation: Shift funding from public administration to social sectors (health, education, social protection) to enhance service delivery and inclusiveness.
• Tax Reforms: Improve tax collection and reduce tax expenditures to increase revenue and fiscal sustainability.
• Public Investment: Enhance the quality and efficiency of public investment projects, especially in infrastructure and service delivery.
• Education and Health Reforms: Improve resource allocation, reduce inefficiencies, and ensure equitable access to services.

Key Figures and Trends

• GDP Growth: Declined to 2.1% in 2016 due to the oil price collapse, with projections of 0.8% in 2017 and 2.7% in 2018.
• Public Investment: Accounts for a significant portion of the budget, with a focus on infrastructure and economic diversification.
• Wage Bill: Represents a large share of public spending, with challenges in controlling its growth.
• Non-Oil Revenue: Remains stable at around 14% of GDP, but needs to be diversified to reduce reliance on oil.
• Debt Levels: Public debt reached 64.2% of GDP in 2016, far exceeding the strategic threshold of 35%.

Conclusion

The report emphasizes the need for Gabon to improve public expenditure efficiency and quality to support inclusive growth and poverty reduction. It calls for a shift in resource allocation from administrative spending to social sectors, enhanced PFM systems, and improved tax and customs administration. These reforms are critical to achieving fiscal sustainability and improving service delivery in the context of limited resources and economic volatility.