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France has made domestic resource mobilization (DRM) a policy priority for international cooperation.
In countries where financing needs for development remain substantial, scaling up DRM capacities is essential to ensure sustainable financing. The effective collection of public revenues, from both taxation and non-tax (e.g. natural resources) income, is also relevant within a broader context of sound public financial management.
Following the Inter-ministerial Committee for International Cooperation and Development (CICID) on 8 February 2018, the Ministry of the Economy, Finance and the Recovery and the Ministry of Europe and Foreign Affairs have drawn up the “Strategic Investment Plan for Development 2020-2023” (SIPD). This multi-year investment plan operationalises the implementation of the interministerial strategy for taxation and development and defines the priorities for French cooperation in support of domestic resource mobilization in developing economies.
With more than 60 million euros in allocated funding, the SIPD will finance both bilateral and multilateral initiatives that support greater domestic resource mobilization in Sub-Saharan Africa. The SIPD aims to promote effective tax policies, to support the modernisation of tax administrations, and to optimise France’s cooperation instruments and partnerships in the area of DRM.
By directly supporting DRM, and more generally also fiscal policy, the SIPD will be highly relevant for supporting EMDEs’ responses to COVID-19. In an international context marked by the global health crisis, the SIPD will ensure that French cooperation is aligned with sustainable development objectives (SDGs Agenda 2030) as well as the priorities of the French G7 presidency.
On February, 8 2018 the Interministerial International Cooperation and Development Committee (CICID) requested the elaboration of the investment plan recorded in this document to finance both bilateral and multilateral initiatives that support greater domestic resource mobilization in Sub-Saharan Africa. It was carried out by the French Treasury in collaboration with the Directorate-General for Global Affairs (Ministry for Europe and Foreign Affairs), the Directorate-General of Public Finances, the Directorate-General of Customs and Indirect Taxes, the Agence Française de Développement (AFD) and Expertise France.
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