PUBLIC PARTICIPATION IN FISCAL DECISIONS ON FOREIGN DEBT

Abstract

This study reviews the legal framework on public participation in six Sub-Saharan African countries to establish whether public participation impacts the state’s decision on accruing external debt. The need for public participation in fiscal decisions related to debt is crucial since it acts as a check against potential future welfare implication of debt piling, default risk and any macro-economic implications posed by debt. Although several African countries have recorded remarkable progress in legislations aimed at promoting public participation, recorded scores do not reflect a remarkable growth in public participation. Therefore, this paper addresses whether the lack of public participation in fiscal policy making has implications for fiscal decisions on debt. The paper argues that with public participation being a fundamental right, it is recommended that African countries should act beyond legislation to actual and effective implementation of public participation in fiscal decisions. Moreover, authorities in Africa should embrace open and inclusive public participation to offer the public and civil society a chance to submit their inputs when government policies are formulated, to enhance fiscal transparency, accountability, and better fiscal outcomes.