Accounting for slow productivity growth in North Africa the role of policy distortions

Developing and emerging market countries suffer from distortions that originate from market and government failures, which may be mutually reinforcing. In North Africa, such distortions are potentially a significant impediment to structural transformation and total factor productivity growth. Addressing government failures is critical for the efficient design and implementation of public policies. Important recommendations to reduce policy failures are: (i) In the design of policies: transparency, inclusion, evaluation and monitoring, and increasing the capacity of policymakers; (ii) In the implementation of policies: transparency, accountability and impartiality, and anti-corruption.