Côte d’Ivoire: Tax Authority Misses Q1 Target Despite Collecting CFAF 1,214.2 Billion

In the first quarter of 2026, Côte d’Ivoire’s General Tax Directorate (DGI) recorded tax revenues amounting to CFAF 1,214.2 billion. This figure fell short of expectations, as the initial target was set at CFAF 1,332.6 billion. The shortfall therefore stands at CFAF 118.4 billion, representing a performance rate of 91.1%.

Despite missing its target, the DGI reported an increase of CFAF 106 billion, or 9.7%, compared to tax revenues collected during the same period in 2025.

According to the Director General of Taxes, Ouattara Sie Abou, this growth is driven by several factors, including intensified digitalization of tax services, improved fiscal measures, and enhanced strategies for recovering tax arrears.

However, a number of challenges hindered the achievement of the Q1 2026 target. These include underperformance in collecting certain taxes such as value-added tax (VAT) and payroll taxes, delays in implementing property tax rate reforms, and instability in IT systems, which disrupted tax collection operations.

Vassogbo Bamba, Deputy Director at the Ministry of Economy, Finance and Budget, has recommended continuing the digitalization process, accelerating the implementation of ongoing reforms, and strengthening mechanisms for recovering outstanding tax payments.

For the second quarter of 2026, the DGI has set a more ambitious target of CFAF 1,775.4 billion in tax revenue. This projection represents a 26.4% increase compared to Q2 2025. Achieving this objective will largely depend on the successful implementation of corrective measures addressing the shortcomings observed in the first quarter.

In Côte d’Ivoire, taxation is primarily based on value-added tax (VAT), which remains one of the government’s main sources of revenue. It applies to the consumption of goods and services and is complemented by income and profit taxes, including corporate income tax (BIC), property income tax (IRF), and payroll tax (IS). Additional revenues come from taxes on goods and services such as customs duties, petroleum product taxes, and specific levies on items like tobacco, alcohol, and plastics. The minimum flat tax also requires companies to pay 0.5% of their turnover, even in cases of financial loss.

Tax revenues play a crucial role in financing public investments across key sectors such as transport infrastructure, education, and development projects. In 2022, resource mobilization helped raise the tax-to-GDP ratio to 13%, followed by 14% in 2023, with a target of 15.1% by 2026 in line with UEMOA standards.

The increase in tax revenues also contributes to the sustainability of public debt, projected at around 59.5% of GDP in 2026. Tax administrations, including the DGI and the Customs Directorate (DGD), play a central role in this effort. In 2024, they covered a significant portion of the national budget, with an ambitious target of exceeding CFAF 8,000 billion in revenue by 2026.