CONGO - President Denis Sassou Nguesso was upbeat during his state of the nation address to Congress on 28 November, assuring that the government is working on the necessary adjustments to restore momentum to the economy.
Sassou Nguesso not only predicted growth this year, but said that 3.8 % is expected by 2025.
He highlighted the measures for the development of the agro-industrial sector and called for the implementation of projects through public-private partnerships, as well as for opening up the potential of special economic zones for businesses in areas such as the agro-industrial sector and fisheries.
He also mentioned the need to speed up the reform of the judicial system to improve the business environment, as difficulties in setting up businesses and untimely and disorderly inspections do not encourage private sector growth.
The President said that although Congo's external debt was still high, it was on a downward trend, adding that the national plan to optimise cash flows augured well for the prospects of recovery.
The President noted that Congo's external debt, while still high, was on a downward trend, adding that the national plan to optimise cash flows boded well for the prospects of recovery.
"Inflationary pressures are starting to slow, from 5.3 % in 2023 to the current 4.0 %. The economic recovery is continuing thanks to sustained growth in non-oil sectors and the implementation of reforms," he said.
He also noted the successful outcome of the reviews of the programmes supported by the IMF's extended credit line, which contributes to the gradual restoration of confidence and credibility of international financial institutions.
He cited as challenges the rationalisation of the state through optimised fiscal policy, brought up to best standards, to free up the necessary fiscal space for targeted investment.
In addition, there is a need to improve public administration based on the principles of transparency, accountability, monitoring and evaluation and to maximise domestic revenues so that they contribute more significantly to the financing of the state budget.
Sassou Nguesso announced that from 1 January 2025, payments to the State and its public entities will have to be made by secure means that ensure traceability and centralisation at treasury level.
The other side of the state coin is austerity measures and strikes by civil servants, which the President mentioned only in passing.
In this context, he said that these civil servants, in the face of the temporary difficulties the country is experiencing, "are betraying their ethics and sense of duty by repeatedly initiating or supporting strikes", adding that only a constructive and fruitful dialogue will allow useful compromises to be reached.
However, he acknowledged problems with payments to pensioners, students on foreign scholarships and other categories of staff due to "difficulties caused by the lack of budgetary limits".
He assured that the payments would be made gradually depending on the availability of funds, but in that case the stated prospects for growth seemed remote.
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Prensa-latina.cu / gnews.cz-jav_07
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