Ethiopia Public Expenditure Review [electronic resource]
- Washington, D.C. : The World Bank, 2016.
- 1 online resource (1 p.)
- Public Expenditure Review .
- Public Expenditure Review World Bank e-Library. .
Ethiopia's remarkable socio-economic transformation over the last decade has been marked by: a reorientation of expenditure from recurrent to capital; a significant devolution of resources from Federal Government to Regions; and a clear prioritization of infrastructure spending, while protecting spending on education at four percent of GDP. The Government of Ethiopia has also leveraged external resources to boost spending in pro-poor sectors, particularly health and social protection. As a result, Ethiopia is home to the largest social safety net program in Africa, and has also achieved remarkable health outcomes using cost effective approaches. Recent investments have seen a significant build-up of capital stock, with capital spending at sector level pointing towards increased service capacity. The current public investment-led strategy requires to be complemented by increased budgetary provisions in operations and maintenance so that new investments translate into enhanced service coverage and delivery. As Ethiopia lays the foundation to become a middle income country, and the changing global environment implies declining external assistance, it is imperative that domestic taxation activity support this transition. The current tax-to-GDP ratio is low compared to peer countries, and the tax structure would benefit from increased contributions by direct tax sources. Therefore, there is an immediate need for advancing tax reforms and improve capacity and quality of tax administration. Broadening the tax bases, through review of exemptions, as well as review of tax rates might be venues to consider. Additional revenues will create the much-needed fiscal space to increase funding for operations and maintenance for service delivery, and support fiscal sustainability. As a follow-up to this Public Expenditure Review, the Government of Ethiopia has asked the World Bank to provide further analytical support, with a view to enhance domestic revenue mobilization through simpler and more efficient taxation, while retaining equity priorities in public finances.
10.1596/24370
Accountability
Capital Expenditures
Children
Communicable Diseases
Debt
Decentralization
Deficit
Disabilities
Disasters
Domestic Debt
Economic Management
Education
Education For All
Environmental Health
Expenditures
Family Planning
Financial Institutions
Fiscal & Monetary Policy
Fiscal Sustainability
Gross Domestic Product
Health
Health Insurance
Health Monitoring & Evaluation
Health Outcomes
Health, Nutrition and Population
Hospitals
Hygiene
Incentives
Income Tax
Infrastructure Investment
International Comparisons
Internet
Knowledge
Life Expectancy
Macroeconomics and Economic Growth
Mortality
Needs Assessment
Nurses
Nutrition
Physicians
Pregnancy
Prevention
Public Expenditure, Financial Management and Procurement
Public Health
Public Investment
Public Sector
Public Sector Governance
Public Service Delivery
Public Spending
Sanitation
Skills Development and Labor Force Training
Social Insurance
Social Protections and Labor
Social Safety Nets
Tax Administration
Transparency
Unemployment
Waste
Water Supply and Sanitation
Weight
Workers
Ethiopia's remarkable socio-economic transformation over the last decade has been marked by: a reorientation of expenditure from recurrent to capital; a significant devolution of resources from Federal Government to Regions; and a clear prioritization of infrastructure spending, while protecting spending on education at four percent of GDP. The Government of Ethiopia has also leveraged external resources to boost spending in pro-poor sectors, particularly health and social protection. As a result, Ethiopia is home to the largest social safety net program in Africa, and has also achieved remarkable health outcomes using cost effective approaches. Recent investments have seen a significant build-up of capital stock, with capital spending at sector level pointing towards increased service capacity. The current public investment-led strategy requires to be complemented by increased budgetary provisions in operations and maintenance so that new investments translate into enhanced service coverage and delivery. As Ethiopia lays the foundation to become a middle income country, and the changing global environment implies declining external assistance, it is imperative that domestic taxation activity support this transition. The current tax-to-GDP ratio is low compared to peer countries, and the tax structure would benefit from increased contributions by direct tax sources. Therefore, there is an immediate need for advancing tax reforms and improve capacity and quality of tax administration. Broadening the tax bases, through review of exemptions, as well as review of tax rates might be venues to consider. Additional revenues will create the much-needed fiscal space to increase funding for operations and maintenance for service delivery, and support fiscal sustainability. As a follow-up to this Public Expenditure Review, the Government of Ethiopia has asked the World Bank to provide further analytical support, with a view to enhance domestic revenue mobilization through simpler and more efficient taxation, while retaining equity priorities in public finances.
10.1596/24370
Accountability
Capital Expenditures
Children
Communicable Diseases
Debt
Decentralization
Deficit
Disabilities
Disasters
Domestic Debt
Economic Management
Education
Education For All
Environmental Health
Expenditures
Family Planning
Financial Institutions
Fiscal & Monetary Policy
Fiscal Sustainability
Gross Domestic Product
Health
Health Insurance
Health Monitoring & Evaluation
Health Outcomes
Health, Nutrition and Population
Hospitals
Hygiene
Incentives
Income Tax
Infrastructure Investment
International Comparisons
Internet
Knowledge
Life Expectancy
Macroeconomics and Economic Growth
Mortality
Needs Assessment
Nurses
Nutrition
Physicians
Pregnancy
Prevention
Public Expenditure, Financial Management and Procurement
Public Health
Public Investment
Public Sector
Public Sector Governance
Public Service Delivery
Public Spending
Sanitation
Skills Development and Labor Force Training
Social Insurance
Social Protections and Labor
Social Safety Nets
Tax Administration
Transparency
Unemployment
Waste
Water Supply and Sanitation
Weight
Workers