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 2015 base. This statistical adjustment has resulted in a 25.2% upward revision of the 2023 GDP, now valued at 14,020.2 billion FCFA, reflecting a more accurate capture of the nation’s recent economic transformations.
Why the shift to 2023 as the new base year?
The decision to use 2023 stems from its relative economic stability in the context of Benin, in compliance with the United Nations’ 2008 System of National Accounts, which advocates for periodic updates of the base year to enhance the precision of economic estimates. While the standard five-year cycle could not be maintained due to global economic disruptions between 2019 and 2022, the extensive statistical operations conducted during 2019-2023 provided a clearer picture of the country’s evolving economic landscape.
A more accurate reflection of Benin’s economy
With the new 2023 base, Benin’s 2023 GDP has been recalculated to 14,020.2 billion FCFA, up from the previous estimate of 11,200.7 billion FCFA under the 2015 base—a significant 25.2% increase. This revision does not indicate a sudden surge in wealth creation but rather highlights improvements in statistical coverage and measurement methodologies, particularly in sectors previously underrepresented.
The upward adjustment affects all economic sectors, with the secondary sector leading the growth at 56.1%. On the demand side, gross fixed capital formation saw the most notable increase, rising by 36.6%, driven by better documentation of investments in infrastructure, construction, and productive equipment, including those tied to special economic zones.
Collaborative effort behind the rebasing
The INStaD’s rebasing initiative was supported by a consortium of technical and financial partners, including the World Bank, AFRISTAT, the IMF, GIZ, the African Development Bank, STATFRIC, ECOWAS, and WAEMU. Peer reviews also involved statistical institutes from Burkina Faso and Mali, ensuring the robustness and reliability of the updated national accounts.
Looking ahead, the INStaD will proceed with the retroactive calculation of national accounts from 1999 to 2022, enabling Benin to establish a comprehensive and updated series of national accounts based on the 2023 reference year.
