In a new report published recently by the OECD, Revenue Statistics in Africa 2022, it is revealed that tax revenues fell on average by 0.5 percent between 2019 and 2022 across the 31 African countries covered by the report. At the same time, the report notes that GDP rose on average by 0.2 percent. The report notes that policies to mitigate the impact of COVID-19 on businesses and households contributed to the fall in revenues.
The new report contains a special feature on the taxation of the informal sector in Africa, a key theme for domestic resource mobilisation given that more than eight out of ten workers in Africa are in informal employment.