Published on : Monday, August 14, 2017
On 2nd August 2017, the World Bank introduced its first Systematic Country Diagnostic or SCD on Seychelles. This systematic diagnostic will notify the functions of World Bank in the country and operate as an input to the ongoing new national development planning process at this moment.
As per the SCD, the financial growth performance of Seychelles has been powerful in terms of current as well as past scenario, followed by high employment rate. Nevertheless, this growth has been influenced by factor accumulation as demonstrated by the analysis. Even though Seychelles have a high-income economy, at present the main challenge lies in sustaining the growth by increasing productivity.
To quote Alex Sienaert, Senior Country Economist and the report’s main author, “While absolute poverty levels in Seychelles are low, inequality is significant. Increasing Seychellois’ direct participation in an increasingly skills-intensive, sophisticated economy is the paramount challenge for the country’s social sectors.”
A development model is what the report points out which promote powerful economic inclusion. The labor market in Seychelles is getting more and more rewarding with limited technical and job-relevant skills. Maximum pressure is on the education system to provide graduates with the tools and techniques that will help them to reap the benefits of the increasing chances and openings provided by the sophisticated economy of Seychelles. Moreover, social spending has reached a generous height and wants to be better targeted, to support sustainability of spending.