Economic and social development is a priority for many countries in search of progress. However, when a population refuses to actively participate in financing its own development, States are often forced to resort to external borrowing. This situation can have serious short- and long-term consequences, including increased dependence on international donors and a loss of economic sovereignty. The refusal of local financing is a threat to economic autonomy.
Governments rely on tax revenues and other local contributions to finance infrastructure, public services and development programs. However, several obstacles hinder this mobilization: Part of the population may oppose new taxes, citing poor governance or opaque management of public funds.
Low culture of contribution: In some countries, citizens expect the state to take full charge of development projects, without considering their own financial involvement. A large part of revenue escapes taxation, limiting the state’s ability to raise funds. This refusal of local financing pushes the State to look for alternatives, in particular borrowing on international markets or from institutions such as the IMF or the World Bank. When states go into debt to fill financing gaps, they expose themselves to several constraints:
Loss of economic sovereignty: Donors often impose strict conditions, such as structural reforms, budget cuts or privatizations.
High interest and difficulty repaying loans can lead to a spiral of over-indebtedness. Adjustments imposed by creditors, such as raising taxes or reducing subsidies, can cause social tensions. For example, many African countries had to adopt Structural Adjustment Programs (SAPs) in the 1980s and 1990s, leading to a drastic reduction in public spending, to the detriment of the most vulnerable populations. To avoid these pitfalls, it is imperative that populations get involved in financing their own development. This can be done through: Fair and progressive taxation: Each citizen must contribute according to their abilities, which requires a fair and transparent tax system.
Promoting local savings: Encouraging individuals and businesses to invest in national projects can reduce dependence on external financing.: Local contributions, in the form of contributions or involvement in collective projects, can play a role key.
-The fight against corruption: People must have confidence that their contributions will be used effectively.
Example of success: Rwanda
Rwanda is often cited as an example where citizens play an active role in financing development. Through mechanisms such as local taxes, community funds and national savings, the country has reduced its dependence on foreign aid and invested heavily in infrastructure, health and education.
By refusing to finance their own development, populations leave governments with few options, forcing them to go into debt with international donors. However, this financial dependence can limit economic sovereignty and compromise national priorities. The mobilization of local resources is therefore an essential condition for ensuring sustainable development and preserving the independence of States. Governments, for their part, must establish transparent and equitable tax policies to encourage the population to actively participate in this collective effort.
SECK SERIGNE BASSIROU
PRESIDENT GEUM SA REW
