Effective economic policies require good-quality data, robust models, and use of modern and adequate statistical software. Such policies could only be taken based on the use of suitable macroeconomic and forecasting models and well-tested analytical hypotheses, Mamady Souare, the African Development Bank's Country Manager in the Central African Republic said recently during a training workshop.
"As we continue to experience more frequent and large shocks on our economies--both external and internal--there is an increasing need for good macroeconomic models that takes into account such disturbances to allow for relevant policy responses," he said.
Certified macroeconomic policy and modelling experts from the African Development Bank carried out the training which took place from 15-20 December 2022 in Bangui, Central African Republic.
The workshop was organized by the African Development Institute (ADI) of the African Development Bank. It focused on strengthening the capacity of government officials in charge of macroeconomic policies in macroeconomic modelling, forecasting and policy analysis.
Professor Kevin Urama, Acting Chief Economist and Vice President of the Economic Governance and Knowledge Management at the African Development Bank, described the training as a vital step towards building skills for developing robust and reliable macroeconomic models and analytical tools for improved economic planning, analysis, and effective policy implementation.
"The objective of the support is to strengthen capacity of the Ministry of Economic Planning and International Cooperation for macroeconomic modelling and forecasting. It also enhances the planning, economic analysis and effective macroeconomic monitoring of the technical staff", Urama said.
Participants at the training workshop are confident that the knowledge they gained will translate into better economic policies that will promote sustainable growth and inclusive development in the country.
Enock Oueama-Guengaï, an expert in charge of the Sector Policy Monitoring Unit in CAR's Ministry of Finance and Budget, said the training enabled him and his colleagues to acquire modelling techniques useful in conducting economic analysis.
"The training was very important for our work. In particular, we acquired modelling techniques for conducting relevant economic analyses for decision-makers. The training also allowed us to improve our knowledge of Eviews, which is an important tool in econometrics," Oueama-Guengaï said.
The exercise enabled the team to master the basic elements and mathematical tools, the foundation of economic theory, use of statistics in the verification of economic theories and the use of analytical tools.
"The training was very beneficial to me in that it helped to refresh the basic elements in econometrics which I learned while at university," Iva Guezewane, the Director of Planning and Social Development in the CAR's Ministry of Economy, Planning and International Cooperation, said.
"It also allowed me to familiarize myself with the technical terms including those that the International Monetary Fund use when they come for missions in CAR," she added.
Guezewane said she was convinced that "the skills acquired, especially in Eviews Econometric modelling software in statistical tests and estimations will help them to validate inferences and undertake better analysis of the CAR economy". EViews is a modern econometric, statistics and forecasting package that provides powerful analytical tools within a flexible and easy-to-use interface.
Félix Moloua, the Prime Minister and Minister of Economic Planning and International Cooperation of CAR, said his government was pleased with the Bank's support aimed at strengthening the capacity of experts in the use of econometric tools for better macroeconomic and budgetary frameworks.
He explained that other beneficiaries of the support are the Bank of Central African States and the Central African Institute of Statistics, Economic and Social Studies.
"If the African Development Bank continues in this direction, perhaps other partners will also join to support efforts in scaling up capacity for macroeconomic policy management in CAR," Moloua said.
