(Ecofin Agency) - While the projected tax revenues for 2024 in Côte d'Ivoire are estimated at CFA6,121.40 billion (just over $10 billion), the collection rate as of the end of September stands at 51.75% of this annual target.

Côte d'Ivoire’s Directorate General of Taxes (DGI) reported collecting CFA3,168.3 billion (about $5.2 billion) in the first three quarters of 2024. This information comes from a statement released by the Ministry of Finance on October 18. The collection reveals a shortfall of around CFA175.7 billion compared to the target of CFA3,343.9 billion (around $5.5 billion) set for the period, resulting in a performance rate of 94.7%.

For Q3 2024, the tax administration achieved a collection rate of 91.32%. The DGI aimed to collect CFA1,116.4 billion but managed to gather only CFA1,019.5 billion.

Ouattara Sié Abou, the DGI's Director General, attributed the disappointing results to several factors. He highlighted the "low" performance of certain taxes, particularly the Value Added Tax (VAT), corporate tax (BIC), and property tax, as significant obstacles. Additionally, delays in implementing some tax reforms and provisions of the 2024 Tax Annex impacted revenue generation.

According to the DGI, Côte d'Ivoire's tax collection efforts have been relatively weak in recent years. In 2023, the tax pressure in Côte d'Ivoire stood at 13.9% of GDP, well below the minimum threshold of 20% set by the West African Economic and Monetary Union (WAEMU).

Adama Coulibaly, the Ivorian Minister of Finance and Budget, has called for increased revenue mobilization. He proposed measures such as cleaning up the taxpayer database to eliminate inconsistencies and ensure more reliable tax data. The minister also stressed the need to broaden the tax base by increasing the number of taxpayers and improving the collection of property tax, which he noted is currently underutilized.

For Q4 2024, revenue mobilization targets have been revised upward to make up for the recorded deficit. Minister Coulibaly urged all DGI services to fully engage in achieving these new goals.

It is important to note that the tax revenue collected in the first nine months of the year represents 51.75% of the annual target of CFA6,121.40 billion (about $10.1 billion) set in the national budget for 2024, according to calculations by Ecofin Agency.