Economy of Cote D'Ivoire (Ivorycoast) :: once stable relatively prosperous country côte d?ivoire suffered continued political instability economic stagnation since 1999 current crisis began september 2002 further aggravated country?s already difficult social conditions civil conflict cut short incipient recovery gdp estimated declined 6 3 8 2003 inflationary pressures intensified temporarily decreased subsequently averaged account balance payments essays research papers Economy of Cote D?Ivoire / Ivorycoast

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Once a stable and relatively prosperous country, Côte d?Ivoire has suffered from continued political instability and economic stagnation since 1999. The current crisis, which began in September 2002, has further aggravated the country?s already difficult social and economic conditions.

The civil conflict cut short the incipient economic recovery in 2002. GDP is estimated to have declined by 1.6% in 2002 and 3.8 % in 2003. Inflationary pressures intensified temporarily after the crisis, but decreased subsequently, with 2003 inflation estimated to have averaged 3.8 %. The current account of the balance of payments moved into surplus in 2002 and 2003, as export revenues rose on the strength of international cocoa prices.

Public finances deteriorated in the second half of 2002 and in 2003, reflecting a combination of expenditure overruns, tax revenue stagnation, and a decline in foreign financing. Domestic and external arrears reached 13,5% of GDB by end-2003.

An improvement in security and political normalization are indispensable for economic recovery. However, a coherent economic policy framework and transparent and efficient management of public finances are critical to consolidate the gains from the return to stability, and to restore private sector confidence.

Given the uncertainty about availability of external resources and the need to address the problem of large stock of domestic and external arrears, the authorities should target a higher primary budget surplus in... [to view the full essay now, purchase below]

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