In early April, Cote d’Ivoire and the IMF agreed on a $3.5 billion financing package. These funds will support the National Development Plan (NDP) adopted by the Ivorian government.
Given Cote d’Ivoire’s strong economic performance, an agreement was reached quickly. The country’s good performance during the pandemic quickly convinced the IMF. In fact, Abidjan had managed to maintain positive growth, unlike many countries on the continent that had fallen into recession.
A national plan for a more prosperous and cohesive Ivorian society
The IMF funds will support the NDP projects sought by President Ouattara to accelerate the country’s economic and social development. This plan should confirm Cote d’Ivoire’s leading role in the West African economy. With a growth rate of nearly 6 percent, the country has one of the highest growth rates on the continent. Building on its successes, Abidjan has been promoted from fragile to middle-income status by 2022.
The programme which will run until 2025, is based on six pillars, including training and employment, regional development, improved governance and industrialization. Its most ambitious goals are quantified. By 2025, according to the government, it should lead to “a GDP per capita of $3,480.0 compared to $2,286.8 in 2020; a life expectancy at birth of 62 years compared to about 57 years currently; and a poverty rate of 31.5 percent compared to 39.4 percent in 2018.”
Accelerating the country’s industrialization through local processing
The industrial sector is the subject of strong investments. For the government, industrialization must stimulate the private sector, which in turn must become a catalyst for foreign capital. That is why Abidjan and the NDP are betting heavily on boosting the processing industry in the cocoa sector. The country is the world’s leading producer (40 percent), but currently receives only a small share of the value added. It should be noted that the country is also developing its mining and hydrocarbon sector. Over the period 2021-2025, the manufacturing sector’s share of GDP is expected to increase from 11 to 15 percent.
CP/lb/abj/APA