The Politics of Revenue Mobilisation: Explaining Continuity in Namibian Tax Policies

In: Forum for development studies, Band 28, Heft 1, S. 125-145

Abstract

Draws on the institutional literature derived from Western historical experiences to examine Namibia's postindependence taxation system. The analysis is structured around four constraints believed to affect revenue mobilization: (1) government's bargaining position in relation to its citizens; (2) nature/capability of political institutions; (3) structure of the economy; & (4) international context. It is maintained that institutional theories based on Western experiences are challenged by Namibia's tax policies that are only slightly different 10 years following independence. Namibia's macroeconomic policies & system of taxation are described, & the constraining factors are analyzed within the context of postindependence politics. It is argued that the governing South West Africa People's Organization has been able to maintain liberal economic policies while simultaneously carrying out relatively progressive social policies primarily because of revenue received from the Southern African Customs Union (SACU). However, trade liberalization may reduce SACU revenues, challenging Namibia's tax base, & requiring the government to choose between getting more revenues from the mostly white wealthy minority, or taxing a greater share of the population. 35 References. J. Lindroth