Transfer Pricing – Agenda

The COVID-19 pandemic has negatively impacted Africa in key economic sectors such as tourism, education, manufacturing, accommodation, food services, construction, mining, arts, and entertainment. This has resulted in the decline of tax revenues, FDI, remittances and aid flows, and increased the risk of debt unsustainability and defaults. The ensuing fiscal distress faced by some African countries calls for urgent action. This ongoing global crisis also presents an opportunity for Africa to reassess its tax regimes and improve the composition of public finance. In this context, unlocking the potential of property taxes appears as one of the key fiscal policy measures to improve and sustain DRM post-recovery. On the other hand, the rapid growth in urban population is creating an urgent need for governments to improve social amenities, public services, and city infrastructure. Cities must fund these services but have not been able to raise enough own revenue sources. While the effects of COVID-19 on property tax revenues in urban municipalities in Sub-Saharan Africa have yet been assessed, it is obvious that the pandemic may have put a strain on the capacity of cities to collect revenue during lockdowns and affected property owners and tenants alike. In this session, experts and policymakers will critically analyse how challenges in mobilising property tax revenues in Sub-Saharan Africa can be turned into opportunities during the post-COVID economic recovery phase.

The COVID-19 pandemic has negatively impacted Africa in key economic sectors such as tourism, education, manufacturing, accommodation, food services, construction, mining, arts, and entertainment. This has resulted in the decline of tax revenues, FDI, remittances and aid flows, and increased the risk of debt unsustainability and defaults. The ensuing fiscal distress faced by some African countries calls for urgent action. This ongoing global crisis also presents an opportunity for Africa to reassess its tax regimes and improve the composition of public finance. In this context, unlocking the potential of property taxes appears as one of the key fiscal policy measures to improve and sustain DRM post-recovery. On the other hand, the rapid growth in urban population is creating an urgent need for governments to improve social amenities, public services, and city infrastructure. Cities must fund these services but have not been able to raise enough own revenue sources. While the effects of COVID-19 on property tax revenues in urban municipalities in Sub-Saharan Africa have yet been assessed, it is obvious that the pandemic may have put a strain on the capacity of cities to collect revenue during lockdowns and affected property owners and tenants alike. In this session, experts and policymakers will critically analyse how challenges in mobilising property tax revenues in Sub-Saharan Africa can be turned into opportunities during the post-COVID economic recovery phase.

Presentation 1
Dr Seydou Coulibaly – Country Economist for Burundi – African Development Bank (AfDB)
Title:Decentralisation, Digitalisation, and the Tax Assignment Problem: Evidence from Property Taxes in Africa

Presentation 2
Mr Adams Kargbo – Director Fiscal Decentralisation Division, Ministry of Finance, Sierra Leone
Title: Harnessing the potential of property taxes in Sierra Leone

Chair
Prof William McCluskey – Extraordinary Professor – African Tax Institute, University of Pretoria, South Africa

Panel Discussion
Mr Bizimana Ruganintwali Pascal – Commissioner General, Rwanda Revenue Authority (RRA)
Ms Monica Obongo – Deputy Director, Land Valuation, Ministry of Lands and Physical Planning, Kenya
Mr Jean Claude Mondo – Cadastre project coordinator, Research and Planning division of the Ministry of Finance of Cameroon
Prof. Odd-Helge Fjeldstad – Extraordinary Professor – African Tax Institute, University of Pretoria &Coordinator: Tax and Public Finance, CHR Michelsen Institute

Q & A