Niger report: rethinking public finance to boost economic resilience

The Niger finances report outlines strategic reforms to strengthen public spending efficiency, stimulate job creation, and elevate living standards for citizens across the country. By addressing systemic fiscal challenges, the proposed policies aim to foster sustainable economic growth and improved governance.

key insights from the Niger finances report

• Non-oil revenue challenges: Non-oil tax revenues averaged just 10.5% of GDP from 2014 to 2024, lagging behind regional peers due to widespread tax exemptions and compliance issues. This underscores the need for broader fiscal reforms to expand the tax base and enhance revenue collection.
• Public expenditure trends: Government spending surged to 25% of GDP in 2023-2024, yet allocations to social sectors remained critically low at 4% of GDP—less than half the sub-Saharan Africa average. High wage bills, fuel subsidies, and debt servicing continue to overshadow investments in productive and social infrastructure.
• Resource revenue potential: Despite ranking as a top producer of uranium and among the leading exporters of livestock in West Africa, Niger’s earnings from these sectors fall short of their fiscal potential. Similarly, revenue from mining and natural resources remains underutilized compared to regional counterparts.
• Public finance governance issues: Direct contracting dominated 90% of public procurement value in 2024, while public debt arrears reached 3.5% of GDP by late 2025. Combined, state-owned enterprises held debt exceeding 8% of GDP, highlighting systemic weaknesses in budget management, debt sustainability, and corporate governance.
• Social sector deficits: Underfunded systems in healthcare, education, and social protection face persistent allocation and efficiency gaps. With only 0.5 doctors per 1,000 people, fewer than half of early childhood educators trained formally, and social protection spending at a mere 0.03% of GDP in 2024, urgent improvements are needed to meet citizen needs.

These findings underscore the critical need for a Niger report-aligned fiscal strategy—one that prioritizes transparency, efficiency, and targeted investment to build a more resilient and inclusive economy.