Dalmacio Benicio's Books

Botswana, Lesotho, Namibia, and Swaziland face the serious challenge of adjusting not only to lower Southern Africa Customs Union (SACU) transfers because of the global economic crisis, but also to a potential further decline over the medium term. This paper assesses options for the design of the needed fiscal consolidation. The choice among these options should be driven by (i) the impact on growth and (ii) the specificities of each country. Overall, a focus on government consumption cuts appears to minimize the negative impact on growth, and would be appropriate given the relatively large size of the public sector in each country.

The Southern African Customs Union (SACU) is facing its biggest challenge in its 100 years of existence. The global economic crisis has significantly reduced its revenue outlook, which is having a disproportionate impact on its smaller member countries, and which calls for an appropriate policy response. This paper discusses specifically the implications for Botswana, Lesotho, Namibia, and Swaziland, and provides recommendations regarding the proper fiscal response by these countries to the decline in SACU revenue.

This paper applies the work of Berg and Ostry (2011) to the SACU region, to identify how inequalities have played a role in growth in each of these countries, and elaborates policy options to mitigate the effects of inequalities and foster growth. Lower income inequalities could lead to significant gains, as SACU countries could almost double the duration of their growth periods, with much lower inequalities. While reducing inequalities may be desirable, the design of policies to achieve such objective is not trivial. Policies targeting income inequalities at the sources are expected to be the most effective to reduce inequalities and promote growth. However, direct redistribution, if carefully crafted can also be very effective in reducing inequalities while limiting its potentially negative impact on growth.

Book's by Dalmacio Benicio

The Design of Fiscal Adjustment Strategies in Botswana, Lesotho, Namibia, and Swaziland

The Design of Fiscal Adjustment Strategies in Botswana, Lesotho, Namibia, and Swaziland

In the Wake of the Global Economic Crisis

In the Wake of the Global Economic Crisis

Inequalities and Growth in the Southern African Customs Union (SACU) Region

Inequalities and Growth in the Southern African Customs Union (SACU) Region

The Design of Fiscal Adjustment Strategies in Botswana, Lesotho, Namibia, and Swaziland

The Design of Fiscal Adjustment Strategies in Botswana, Lesotho, Namibia, and Swaziland

In the Wake of the Global Economic Crisis

In the Wake of the Global Economic Crisis

Username

Password

Username

Password

Password again

Birthday

Email