Benin ranked first among African countries

The international rating agency Standard & Poor's has given the B + rating to the Republic of Benin, associated with a stable perspective. This rating places Benin, like Senegal and Kenya, at the top of the African countries evaluated by the S & P agency, except for South Africa and Morocco, and in front of countries such as Nigeria or Rwanda, rated B, Stable perspective. The rating agency explains its rating by a significant improvement in the country's macroeconomic management by the new authorities, under the leadership of President Patrice Talon. S & P focuses on strengthening public governance and accountability of institutions. It also highlights the reforms implemented to support economic growth and to continue fiscal adjustment under the Government Action Program (Pag). S & P's main focus is improving revenue collection, thanks to increased dynamism in economic activity associated with better performance of the cotton sector, and a series of reforms aimed at improving tax collection. In addition, efforts related to the business climate, including the creation of commercial courts and the adoption of decrees and laws to increase transparency, including in public procurement, are also important reforms supported by the rating agency. The latter stresses that success in implementing these reforms will boost the confidence of donors and foreign investors. Standard & Poor's forecasts for Benin, a growth rate that will remain high, with an average of 6.3% over the period 2018-2021. According to the agency, the budget deficit should be reduced to 4% on average over the period 2018-2021 against the level of 7.6% of GDP recorded in 2015. It anticipates a debt ratio of about 50% of GDP and a current account deficit which would be reduced to 7% of GDP by 2021. In perspective, Standard & Poor's asserts that a further increase in Benin's rating is available in a scenario of stronger economic growth than expected , associated with a fall in the fiscal and external deficits, as well as a significant reduction of public debt relative to GDP. It should be recalled that Benin's last rating was in 2011 and was B, stable outlook. Benin thus ends seven (07) years without rating and S & P appreciates the ability of the government to meet its financial commitments.

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