Under Ethiopia Tax Systems Transformation Programme (TSTP), Department of International Development (DFID) and Government of Ethiopia (GoE) established a Tax Transformation Office (TTO) in the Ethiopian Customs and Revenue Authority (ERCA). This unit is designed to drive the institutional transformation of ERCA and implement tax policy reforms that are aimed at responsible and equitable increase of tax revenues. The underlying objective of the programme is transforming the country’s tax system so that the GoE can fund more services for its population from its own revenue and become less dependent on aid, thereby boosting the country’s economic growth potential.
We are assessing the performance of TSTP to evaluate progress against various output pillars and provide technical inputs and recommendations. We assisted Foreign, Commonwealth & Development Office (FCDO) and GoE in revising the log frame, result indicators, KPIs, and annual progress review. We are conducting programme assessment based on Tax Administration Diagnostic Assessment Tool (TADAT) methodology to assess the tax administration reforms and capacity building. The assessment focuses on economic benefit analysis and distributional impacts of tax reforms in Ethiopia including, welfare gains through potential effects on GDP and employment.
