Tax collection efforts, such as the launch of a new digital tax filing platform and digitalization of the Northern-border customs offices, contributed to tax revenues in 2024. Yet, government revenues were negatively impacted by declining global oil prices. Meanwhile, low execution levels of public works helped contain public spending in 2024.
Over the coming years, Gabon’s economic growth is expected to come from non-oil sectors in view of an expected gradual depletion of oil reserves. Sectors such as manganese, timber, palm oil and rubber plantations, and iron ore—following the recent start of production at the Belinga iron ore mine—are expected to play key roles in future growth. The Government is launching ambitious plans and strong investments in infrastructure to support different sectors.
Significant risks weigh on Gabon’s growth outlook. Geopolitical tensions, global trade shocks and weaker demand from major trading partners such as China and the EU may impact export performance. Another important risk is the deterioration of the fiscal situation due to expected declines in oil revenues and strong pressures on public expenditures coming from social expectations to rapidly and tangibly improve living conditions. Efforts to prioritize and improve the efficiency of public spending, and expand tax revenue collection, will be key to achieving higher growth, stronger job creation and poverty reduction under a sustainable fiscal path.
