Public finance review 2026 Gabon budget policies for citizens

The 2026 Public Finance Review outlines strategic budgetary policies designed to enhance Gabon’s fiscal sustainability, stimulate job creation, and elevate living standards for its citizens.

Key findings uncovered

• Revenue streams: From 2014 to 2024, non-oil tax revenues averaged just 10.5% of GDP—far below peer averages—largely due to widespread tax exemptions and compliance hurdles.
• Public spending patterns: While total public expenditure surged to 25% of GDP in 2023–2024, allocations to social sectors lagged at only 4% of GDP—less than half the Sub-Saharan Africa average. Heavy commitments to civil service wages, fuel subsidies, and debt servicing continue to divert resources from productive and social investments.
• Natural resource earnings: Despite ranking as Sub-Saharan Africa’s fourth-largest oil producer, the world’s second-largest manganese exporter, and a major timber supplier, Gabon captures lower per-barrel oil revenues than regional peers, while timber and mining receipts remain well below fiscal potential.
• Public finance governance: In 2024, direct contracts accounted for 90% of public procurement value, debt arrears reached 3.5% of GDP by late 2025, and combined debt of key state-owned enterprises exceeded 8% of GDP—highlighting systemic weaknesses in budget execution, liquidity management, procurement practices, and corporate governance.
• Social sector funding gaps: Gabon’s health, education, and social protection systems remain underfunded. With only 0.5 doctors per 1,000 people, fewer than half of preschool teachers holding formal qualifications, and social protection spending at a mere 0.03% of GDP in 2024, the system struggles to deliver equitable and efficient outcomes.