The nature of public agricultural spending in southern Africa

Abstract

This paper sets out to analyses and present trends in investments in agriculture in the SADC region. In pursuing this goal the paper empirically highlights the importance of disaggregating expenditure data when examining its links to measures of productivity and poverty. This is important because not all types of expenditure have the potential to positively impact on productivity and poverty. In order to pursue the goals set out in this paper, analysis focused mainly on data on agricultural public expenditure for Angola, Botswana, the Democratic Republic of the Congo, Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Namibia, South Africa, Swaziland, Zambia and Zimbabwe. Trend analysis leads to the following main findings: Various countries have tended to invest in their agricultural sectors differently across time, but investments have been limited and volatile, while the quality of spending has also gone down. There is also public agricultural expenditure bias towards crops at the expense of other sectors. The major implication is that there is need for more concerted efforts in the SADC to ensure more and better-targeted agricultural growth enhancing investments.