Public spending and poverty in Mozambique

For poor countries in Sub-Saharan Africa, poverty reduction usually requires a combination of well-distributed economic growth and increased investment in human capital, especially among the poor. Two key areas for such investment are education and health, both sectors in which the state is the major service provider. A third area that is often cited is physical capital, and public infra-structure in particular. Faced with tight fiscal constraints, governments must ensure that spending on public services and infrastructure is efficient and benefits the poor. Using data from Mozambique, this study asks the question, “Who benefits from public spending on education, health, and infrastructure?” In addition to the poverty reduction imperative that most poor countries face, Mozambique also faces the challenge of rebuilding after decades of war that devastated the country.

Author: 
Heltberg, Rasmus
Simler, Kenneth R.
Tarp, Finn
Published date: 
2003
Series number: 
167
PDF file: 
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