Overview

«

»

Context
Strategy
Results
Partners

Since 2012, the economy of Côte d'Ivoire has turned in a stellar performance, marked by a rapid increase in GDP that has triggered the beginnings of a reduction in poverty. For the 2016-2020 period, the Government adopted a new National Development Plan (NDP) designed to transform Côte d'Ivoire into a middle-income economy by 2020 and further reduce the poverty rate. In April 2016, donors pledged $15.4 billion in grants and loans to support the NDP. The World Bank Group committed to doubling its support over the next four years to approximately $5 billion.
Political Context
Political stability was restored with the re-election of President Ouattara in October 2015 for a second five-year term, and with a referendum, held in October 2016, which established the country's Third Republic. In December 2016, Ivorians cast their votes peacefully to elect deputies to the National Assembly. In early 2017, however, social demands and mutinies led the Government to enter discussions with the main trade unions and the mutineers. The country is gearing up for the forthcoming presidential elections, slated for 2020, with a number of candidates lining up. Like all countries in the sub-region, Côte d’Ivoire has been hit by terrorist attacks, the most notorious being the attack in Grand Bassam in March 2016.
Economic Overview
As the world’s leading cocoa and cashew nut producer and an oil exporter with a major manufacturing sector, Côte d’Ivoire wields considerable economic clout in the sub-region. In 2017, Côte d’Ivoire continued to be one of Africa’s most vibrant economies, with a growth rate that is expected to hold steady at around 7.6%. This sound performance is attributable to the rebound in agriculture and attests to the country’s resilience to internal and external shocks. The outlook in the short and medium term remains encouraging.
The economic outlook for the next two to three years is positive, and the GDP growth rate is projected to reach 7% in 2018 and 2019. This bodes well for the maintenance of moderate inflation and the control of public finances through prudent fiscal and monetary policies, as well as the furtherance of reforms aimed at improving the business climate and facilitating the efficient use of public-private partnerships.
However, the Ivorian economy remains vulnerable to such external risks as volatility in the prices of agricultural and mining products, climate conditions, global and regional security risks, and a tightening of regional and international financial markets.
Social Context
In order to diversify its economy successfully, Côte d'Ivoire must build its human capital so as to meet labor market needs more effectively. Indeed, the production of modern goods and services require skills that are still scarce among local workers.
The key social challenge will be to reduce inequalities significantly by keeping the country's economy on a strong growth path. In 2016, Côte d'Ivoire ranked 171st among 188 countries on the United Nations Human Development Index (HDI). Between 1985 and 2011, the depth and severity of poverty increased considerably, moving from approximately 10% to 51% of the population. However, the findings of the Living Standards Monitoring Survey carried out by the World Bank in 2015 indicate that the recent economic upturn has brought the poverty rate back down to 46%.
The Government of Côte d’Ivoire must now also ensure the redistribution of a greater portion of the spoils of economic growth to the most vulnerable sections of the population.
Recent accomplishments aside, Côte d’Ivoire maintains its position as one of the countries with the world’s highest gender inequality rates, borne out by its ranking (171st out of 188 countries) in the United Nations Gender Equality Index.

Last Updated: May 17, 2018
World Bank Group Engagement in Côte d'Ivoire
The new Country Partnership Framework (CPF) for Côte d'Ivoire was approved by the World Bank Group on September 29, 2015. The CPF covers a four-year period and will support Côte d'Ivoire in creating a competitive, equitable, and inclusive economy. Overall, the World Bank and the International Finance Corporation (IFC) have each planned a $1 billion lending and investment program, and the Multilateral Investment Guarantee Agency (MIGA) is open to analyzing new guarantees.
The CPF pursues mainly the following two goals: (i) creating better quality jobs, particularly in agriculture and agribusiness, through sustainable growth led by the private sector; and (ii) building human capital to generate inclusive growth and improve the quality of social expenditures so as to enhance access to basic services. In order to attain those goals, the following five prerequisites must be met:
Social and political stability;
Macroeconomic stability and public debt sustainability;
Land reform;
The development of an inclusive financial sector;
Improved governance.
As of March 31, 2018, the World Bank Group was financing 20 active projects in Côte d'Ivoire. Taking into account the projects still in preparation, financial commitments exceed $1.4 billion. In 2017, the World Bank Group approved the largest loan ever granted to Côte d'Ivoire ($325 million), for the purpose of expanding access to power, particularly in the rural areas. Projects approved since the start of 2018 relate to transparency of information in the extractive industry, forest resource management, child nutrition, and child development.
International Finance Corporation (IFC)
Of the $1 billion invested in Côte d'Ivoire by IFC over the past four years, one half has consisted in equity financing. In particular, IFC provided guarantees for the Azito III and CIPREL IV power plants, which increased the country's power generation capacity by 370 megawatts. Currently, IFC and its partners finance almost 50% of the energy produced in Côte d'Ivoire. In the financial sector, IFC, through the Global Trade Finance Program (GTFP), helps local banks increase their support for small and medium enterprises, cooperatives, farmers, and smallholders.
Multilateral Investment Guarantee Agency (MIGA)
While Côte d'Ivoire was still regarded as a high-risk country, MIGA helped attract private investments in the energy sector. Since the end of the post-election crisis in 2011, a total of $2 billion has thus been invested, particularly in the conversion of the simple-cycle power plant at Azito into a combined-cycle plant, thereby making it possible to double its power generation capacity without increasing gas consumption.
MIGA also covers a loan to finance the extension of the FOXTROT International LDC gas- and oil-production platform. In Abidjan, the Agency has provided guarantees for the Henri Konan Bédié toll bridge and the Azalaï Hotel. MIGA plans to expand its business portfolio over the next four years.

Last Updated: May 17, 2018
The World Bank Group's strategy aims to increase investments and growth as well as improve the population's standard of living, in particular through the projects described below.
West Africa Agricultural Productivity Program (WAAPP)
Launched in 2011, this project has enabled thousands of rural women to improve their standard of living. In addition to agricultural produce processing equipment, the project disseminated technologies that help increase plantain, cassava, and corn yields significantly. Cassava varieties such as Bocou 1 and Yavo are a source of pride for many cooperatives, whose average yield per hectare increased from 25 to 35 metric tons, compared to an increase from 8 to 10 metric tons using traditional cassava varieties.
The project's first phase, completed in 2016, allowed rural population groups, particularly in forest zones, to shift from food crops, such as plantains and cassava, to cash crops, which are financially more advantageous.
The Emergency Youth Employment and Skills Development Project (PEJEDEC)
Shortly after the post-election violence of October 2010, the World Bank and the Government of Côte d'Ivoire sought to set up a job creation program that would offer thousands of unskilled young people their first employment opportunity. Those persons were direct victims of the political unrest that had rocked the country for more than 10 years. The goal was to enable young persons seeking employment and recognition to aspire to a better future. Such considerations led to PEJEDEC in 2012, with an initial grant of $50 million (circa CFAF 25 billion), which by June 2015 had benefited approximately 27,500 young persons. Additional financing in the amount of $50 million enabled the project to broaden its scope by targeting, in particular, women and rural inhabitants.
Post Conflict Assistance Project (PAPC)
Closed on June 30, 2016 after eight years of implementation, the PAPC provided Côte d'Ivoire with solid experience in managing the needs of communities and in local governance (participatory development), thereby enabling it to narrow the gap with adjacent countries, such as Burkina Faso. Through an exceptional $60 million grant from the World Bank, the PAPC supported the Government's efforts to end the country’s protracted crisis.

Last Updated: May 17, 2018
Donors are currently organized around 14 working groups, which include mechanisms and technical teams to ensure their functioning. These working groups collaborate well, especially during project preparation. Since 2011, the World Bank Group, the International Monetary Fund (IMF), and the European Union (EU) have coordinated closely in the design and implementation of their support for Côte d'Ivoire. The World Bank Group has also coordinated closely with the European Union, the French Development Agency (AFD), and other key donors, such as the Government of France, in the design of agricultural investment programs and in youth employment programs.

Last Updated: May 17, 2018