Abstract

Revenue mobilisation has become one of the major challenges facing African countries in general, and Benin in particular, in financing their various development programmes. This paper aims to analyse the effect of governance on tax revenue in Benin. Theoretically, good governance is assumed to improve the level of revenue mobilisation. This hypothesis is tested empirically using secondary data from the World Bank covering the period 1970 to 2023. Results obtained from a dynamic approach based on an error-correction model show that economic and political governance have a positive impact on tax revenue mobilisation in Benin. Institutional governance, however, does not currently appear to affect revenue mobilisation, which may be explained by the persistent weakness of this indicator over the entire period analysed.