Variable Dimension Adjustment in the Cote d’Ivoire: Reasons for Failure

This paper illustrates, against the backdrop of failure, the succession of adjustment policies the Cte d’Ivoire has experienced from the 1980s onward. In the 1980s, pressure from international authorities imposed, successively, global economic adjustment (disinflation), sector adjustments (competitive) and the social dimensions of adjustment (anti-poverty). However, deflation of public spending and disinflation with competitive and social objectives proved incapable of restraining financial deficits whilst simultaneously causing a deterioration of human development indicators. The 1990s confirmed the Cte d’Ivoire’s leading position in development ‘technology’, in particular the national approach to programmes (demand-led). Prime Minister Ouattara’s medium-term economic programme and ‘national approach to programmes’, adopted by the government in 1993, established the basis for a new form of planning. Finally, in 1994, the Cte d’Ivoire discovered the practical consequences of monetarism in an open economy. The devaluation on 11 January of the CFA franc gave it access to large loans and led to hopes of further improvements in competitivity. The question is whether this change from competitive disinflation to competitive devaluation will help resolve financial problems and improve the standard of living. Bibliogr., sum. in English and French.

Title: Variable Dimension Adjustment in the Cote d’Ivoire: Reasons for Failure
Author: Mahieu, Francois R.
Year: 1995
Periodical: Review of African Political Economy
Volume: 22
Issue: 63
Period: March
Pages: 9-26
Language: English
Geographic term: Ivory Coast – Cte d’Ivoire
External link: https://www.tandfonline.com/doi/pdf/10.1080/03056249508704097
Abstract: This paper illustrates, against the backdrop of failure, the succession of adjustment policies the Cte d’Ivoire has experienced from the 1980s onward. In the 1980s, pressure from international authorities imposed, successively, global economic adjustment (disinflation), sector adjustments (competitive) and the social dimensions of adjustment (anti-poverty). However, deflation of public spending and disinflation with competitive and social objectives proved incapable of restraining financial deficits whilst simultaneously causing a deterioration of human development indicators. The 1990s confirmed the Cte d’Ivoire’s leading position in development ‘technology’, in particular the national approach to programmes (demand-led). Prime Minister Ouattara’s medium-term economic programme and ‘national approach to programmes’, adopted by the government in 1993, established the basis for a new form of planning. Finally, in 1994, the Cte d’Ivoire discovered the practical consequences of monetarism in an open economy. The devaluation on 11 January of the CFA franc gave it access to large loans and led to hopes of further improvements in competitivity. The question is whether this change from competitive disinflation to competitive devaluation will help resolve financial problems and improve the standard of living. Bibliogr., sum. in English and French.