The Fiscal Dimensions of Ethiopia's Transition and Reconstruction

David Bevan

No DP2001-56, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)

Abstract: In 1991, the new Government of Ethiopia faced a triple fiscal challenge. First, a major effort was required to overhaul and modernize the tax system. Second, the need to switch expenditure from military to civilian uses had to take place within a potentially severely reduced resource total. The severity of the general financing problem was however ameliorated by a rise in aid flows. Third, there was the political imperative to press on with the process of fiscal decentralization that was the necessary accompaniment to political decentralization.

Keywords: Economic assistance and foreign aid; Fiscal policy; Macroeconomics; Privatization; Taxation (search for similar items in EconPapers)
Date: 2001
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