Fiscal Stabilization-Lessons & Experiences

Most experts argue that unstable macroeconomic conditions of SSA region have contributed to increase in poverty, inequality and unemployment. In fact, many economic prospects of developing countries have actually declined drastically over the last 30 years. This points to the argument that fiscal stabilization and adjustments measures have failed Africa development agenda. The evidence is alarming that poverty remains quite high in Africa for both the rural and urban population.Ideally, Africäs agenda on fiscal stabilization and adjustments reforms has witnessed weaker and stagnated growth due to tough global economic environment which has not really improved most regions of Africa. Many political analysts argue that there can be no meaningful growth rate in the midst of low global growth, weak global trade, and low commodity prices.This gives an understanding that fiscal stabilization and adjustments have been hampered by poor macroeconomic policy framework in most regions of Africa. There is obviously a clear and usually desirable connection between macroeconomic framework and fiscal stabilization and adjustments measures declined economic activities significantly over the time.