The National Institute of Statistics and Demography (INStaD) has completed the rebasing of Benin’s national accounts, adopting 2023 as the new reference year to replace the previous 2015 base. This statistical adjustment has led to a 25.2% upward revision of the country’s 2023 GDP, rising to 14,020.2 billion FCFA, reflecting a more accurate capture of recent economic transformations in the nation.
Why the shift to a new base year?
This major statistical overhaul aligns with the United Nations’ 2008 System of National Accounts, which recommends periodic updates to the base year—typically every five years—to enhance the quality and relevance of economic estimates. However, the global economic shocks between 2019 and 2022 disrupted this schedule, delaying the process.
The selection of 2023 as the new base year was not arbitrary. It was chosen for its relative economic stability during a period marked by significant statistical operations. These efforts have enabled a more precise assessment of the country’s evolving economic landscape, particularly the growth in key sectors and investment activities.
What does this revision mean for Benin’s economy?
With the new base year in place, Benin’s 2023 GDP stands at 14,020.2 billion FCFA, compared to the previous estimate of 11,200.7 billion FCFA under the 2015 base. While this represents a remarkable 25.2% increase, the INStaD clarifies that this does not indicate a sudden surge in wealth creation. Instead, it highlights an improvement in statistical coverage and a more comprehensive measurement of the nation’s economic activities.
The upward revision spans all sectors, with the secondary sector experiencing the most significant growth at 56.1%. On the demand side, the most notable change is in gross fixed capital formation, which has been revised upward by 36.6%. This adjustment reflects a better accounting of investments in infrastructure, construction, and productive equipment, including those tied to economic zones.
Collaboration and technical support
The rebasing process was conducted with the support of several technical and financial partners, including the World Bank, AFRISTAT, the IMF, GIZ, the African Development Bank, STATFRIC, ECOWAS, and the West African Economic and Monetary Union (WAEMU). Peer reviews also involved national statistics institutes from Burkina Faso and Mali, ensuring the robustness and credibility of the results.
The INStaD has announced plans to extend this work by retroactively recalculating national accounts from 1999 to 2022. This initiative will provide Benin with a complete and updated series of national accounts based on the 2023 reference year, offering a clearer and more accurate picture of the country’s economic trajectory over the past two decades.
