Gabon's Performance on the Resource Governance Index
Gabon received a "weak" score of 46, ranking 32nd out of 58 countries. A relatively high Institutional & Legal Setting score contrasted with poor performance on the Enabling Environment component.
(out of 58)
(out of 100)
|29||Institutional & Legal Setting||60|
|43||Safeguards & Quality Controls||39|
Institutional & Legal Setting (Rank: 29th/58, Score: 60/100) learn more
Gabon earned a "partial" score of 60. While it has clear mechanisms for revenue collection, legislative reforms begun in 2009 have not yet been implemented.
The Ministry of Mines, Petroleum and Hydrocarbons grants licenses to companies, while its General Directorate for Hydrocarbons acts as a regulatory agency. The Economy Ministry's Large Companies Directorate collects oil revenues, which are deposited in the treasury.
In the past, Gabon has granted licenses through open bidding, but the most recent licensing round was suspended pending enactment of the new hydrocarbon code. While current law establishes a general fiscal framework for oil contracts, in practice contract terms are often the product of direct negotiations between companies and the government.
Environmental impact assessments are required and often include a social impact component, but they do not have to be published, and there is no freedom of information law. Gabon joined the Extractive Industries Transparency Initiative in 2004, but lost its candidacy status in February 2013, having failed to provide the detailed documentation required for validation.
Reporting Practices (Rank: 26th/58, Score: 51/100) learn more
Gabon's "partial" score of 51 reflects adequate reporting on key revenue indicators, but a lack of transparency regarding contracts, environmental impact assessments, and resource-funded subsidies.
Access to information on the licensing process is limited. Legislation does not require full disclosure of information, and authorities do not publish contracts or agreed fiscal terms.
The Economy Ministry regularly provides substantial information about oil revenues, including production volumes, prices, the value of oil exports, the names of operating companies, production data by company, production stream values, the government's share in production sharing contracts, royalties, dividends, bonuses, acreage fees, and income taxes. The Ministry of Mines, Petroleum and Hydrocarbons also publishes some relevant information, including production volumes, prices, company names, and production stream values. The Bank of Central African States publishes similar information.
Safeguards & Quality Controls (Rank: 43rd/58, Score: 39/100) learn more
Gabon received a "failing" score of 39, the product of inadequate government oversight of the oil industry and the natural resource fund.
Parliament has no legislative mandate to approve licenses or contracts, and its budgetary reviews are hampered by capacity constraints and a lack of information. Records of parliamentary debates concerning the oil sector are not disclosed. The reports of the Audit Court, an independent institution, are also unavailable. Considerable discretion is allowed in contract negotiations and there does not seem to be a process for appealing licensing decisions. Government officials are not allowed to have a financial stake in the industries they oversee.
Enabling Environment (Rank: 37th/58, Score: 28/100) learn more
Gabon performed particularly poorly on rankings of government effectiveness, democracy, and accountability, earning a "failing" grade of 28.
Authorities announced the creation of the Gabon Oil Company in 2010, but it is not yet operational. The company will manage the government's stake in production sharing contracts, promote investment in small- and medium-sized local businesses, and take part in oil exploration and production. Few details about the company's management have been made public.
Natural Resource Funds (Rank: 15/23, Score: 35/100) learn more
In 1998, Gabon created a natural resource fund, the Fond Pour les Générations Futures. Because of mismanagement, it was replaced in February 2012 by the Fonds Souverain de la République Gabonaise. The president oversees the new fund, which is intended to finance infrastructure and development projects. Legislation defines the rules governing deposits to the fund, but there is no published formula for withdrawals. The fund will be audited, but it is not clear whether the results will be published.
INSTITUTIONAL & LEGAL SETTING
SAFEGUARDS & QUALITY CONTROLS
To explore all data and compare country scores, use the RGI Data Tool.
Key Economic Indicators
|GDP (constant 2011 international $ billion)||6.5||9.8||17.1|
|GDP per capita, PPP (constant 2005 international $)||13,251||13,014||13,998|
|Oil and gas revenues (% total government revenue)||63||64|
|Extractive exports (% total exports)||85||88||86|
|Sources: Oil and gas revenue as share of total government revenue from the Economist Intelligence Unit and the International Monetary Fund. All other data form the World Bank. Oil and gas revenues 2011 data from 2010; Extractive exports 2011 data from 2009.|