12 Feb 2016
Degol Hailu, Senior Advisor, UNDP
Chinpihoi Kipgen, Research Associate, UNDP
While a possible option to to compensate for the fall in commodities' prices, cutbacks in public expenditure will hinder progress towards the sustainable development agenda. Photo: Aude Rossignol/UNDP in Burundi
Since 2011, the price of oil has fallen by 51%. Copper, coal and iron ore prices have dropped by 38%, 53% and 67%, respectively. Commodity dependent countries in Sub-Saharan Africa are facing serious fiscal and balance of payment deficits, hindering the progress towards the sustainable development agenda.
Our experts consider 5 possible short-term options to compensate for the fall in prices and their drawbacks. …