Macroeconomic Modeling in the context of Energy Subsidy Reform Policy Dialogue - Recent Experience, Insights and Perspectives (English)

Energy subsidy reforms are, and will continue to be, at the forefront of policy debate in many countries around the world. International experience shows that energy subsidy reforms are a complex undertaking, requiring a comprehensive package of measures that consider and address the social, sectoral and economywide impacts of reform. It is critical to determine the objectives; clearly articulate up front the problems the proposed reform seeks to address; and understand who will be directly and indirectly affected by the reform options under consideration. In this context, macroeconomic modeling has a useful role in facilitating understanding and assessing impacts of reform options under consideration.