CHAPTER FOUR: ECONOMIC GOVERNANCE AND MANAGEMENT __________________________________________________________________________ needed to realise the Alafia Bénin 2025, which of the resources the country can generate, and what contributions should come from development partners. 430. The importance of coordination in economic governance and management policies seems to be understood in government circles. However, it encounters difficulties in implementation and operational effectiveness. This is admitted by the authorities and stakeholders. The CRM could not clearly define the nature of the coordination weaknesses. The difficulties seem to stem from previous practices, which made each official in ministries or institutions feel ‘directly accountable’ to the head of state. This also results in some inflexibility in implementing reforms, especially policies that aim at structural transformation. Delays in decentralising budgets are also due to this state of affairs. 431. Sectoral economic policies. The CRM was also pleased to note that agriculture is recognised as the basis of the country’s economy and development. However, agricultural policies do not seem to reflect this. Instead, there is a tendency to ‘informalise’ agriculture. In this respect, there has long been talk of agricultural diversification, but it has been slow in materialising. Nevertheless, according to stakeholders and some officials in the ministry concerned, the government continues to subsidise cotton production with billions of CFA franc despite the lack of clear prospects for this enterprise caused by the subregional and world situation. The strategy currently adopted for the different sectors is obviously welcome, but it should not be driven mainly by export concerns. Food insecurity is another significant challenge. Similarly, rain-fed agriculture – in the absence of a water-control policy – has limits. These should be taken into account if the government wants to make the agricultural sector the basis of the country’s economy. 432. The objectives of the industrial and trade strategies are well defined. These are to develop raw materials, and to meet the needs of the population in so doing; and to broaden the industrial base by participating in regional policy, by complying with WTO rules, and by regulating the domestic market. These objectives are intended to be met mainly through the policy of growth poles. The CRM is pleased with the existence of these two well-defined sectoral objectives. The CRM believes that the policy of growth poles requires that the definition and location of these poles should be accompanied by a spatial distribution of economic functions so as to create links between the different poles and their respective hinterlands, on the one hand, and between the poles themselves on the other. This will establish an integrated and reconfigured economic space that is not isolated, and one that is open to WAEMU and (particularly) ECOWAS. In this respect, the CRM noted the genuine concerns of the government regarding the country’s energy deficit, which limits Benin’s industrial prospects, and it appreciates the solutions envisaged by the authorities to address it. 433. The objective of the transport strategy is to construct and maintain means of transport and communication. At this level, the transport sector should be 156