This Poverty and Social Impact Analysis(PSIA) is part of a broader dialogue on energy tax reformand strengthening social safety nets in Djibouti. As part ofa possible reform of energy taxes in Djibouti, thegovernment of Djibouti has sought the support of the WorldBank to better understand how such a policy reform can bepro-poor. The study was designed and implemented by amultisectoral committee composed of various stakeholderinstitutions, including the Ministry of Economy and Finance,the Ministry of Budget, the Secretary of State responsiblefor National Solidarity (SESN), the Department of Statisticsand Demographic Studies (DISED), the Ministry of Energy, andthe Ministry of Transport, with whom the teams of the Bankand the IMF collaborated throughout the process ofpreparation of the study. Technical meetings were held onJanuary 30, February 2, May 25, May 28, and May 29, 2014, inDjibouti to discuss the various scenarios of reform, obtainadditional information, and present preliminary quantitativeresults. Consultation meetings were held on July 2 andNovember 15, 2014, to present the findings and discusspossible reform options. This executive summary condensesthe main findings of the study. The study is available as aseparate report with more analyses and backgroundinformation. The study is based on data from arepresentative household survey which includes detailedinformation on household expenditures and receipt of certaincash and in-kind benefits (EDAM 3-2012). The tables in thisexecutive summary show 2014 prices, with inflation rates of2.5 and 2.9 for 2013 and 2014, respectively.
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