BELGIUM

In what areas does Belgium
have a relative need for
or strong capacity for reform?
Key findings: Status
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Blue line represents country’s status performance on a scale from 1 (lowest) to 10 (best). White line is OECD average. Grey area shows variation within OECD. Click category titles for criteria performance and key findings.
At rank 17, Belgium's status performance is average. Serious regional disparities between the Flanders and Wallonia regions are mitigated somewhat by generous social policies.
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OECD spread
Belgium's electoral rules are largely fair, but in practice large parties gain better media access. Media independence is protected, but market concentration is increasing.

The country has been at the forefront of initiatives aiming to reduce discrimination, although racism is evident in everyday life.

A once-significant problem with corruption has been contained, but by no means eliminated.
Striking economic differences distinguish Belgium's Flanders and Wallonia regions.

In Flanders, unemployment has been substantially reduced, and the enterprise climate is favorable. In Wallonia, unemployment has risen, and the region has been less able to attract investment.

Corporate taxes are high, and individual taxes, while progressive are skewed toward labor income. Overspending has left high debt levels, but annual budgets are now restrained.
Generous social payments have helped control poverty in Belgium, but transfers from Flanders to the relatively poorer Wallonia region are proving increasingly controversial.

High-quality, publicly financed health care is available to most people. Family support is generous, with leave available for both parents, but women still find combining parenthood and a career to be difficult.

The mixed pension system is financially fragile, and threatens to exacerbate old-age poverty.
Belgium's traditional military aspirations are minimal.

However, the country is a transit point for traffic in drugs, weapons, people and other smuggled goods. Domestic production of synthetic drugs is growing.

Unemployment is high among the large immigrant population, and integration of religious minorities, particularly Muslims, has become less successful.
Densely populated and industrialized, Belgium is also a key European transit route, with correspondingly heavy pollution.

Environmental, research and education policies all vary across regions. The relatively rich Flanders offers an innovation-friendly, venture-capital funded environment, with Wallonia trailing.

Education spending and test scores are higher in Flanders, with lagging language proficiency in francophone regions harming job prospects.
Key findings: Management
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Blue line represents country’s management performance on a scale from 1 (lowest) to 10 (best). White line is OECD average. Grey area shows variation within OECD. Click category titles for criteria performance and key findings.
At rank 25, Belgium's management
performance is below average. Institutional reform is rare, and coalition consensus elusive. A relatively efficient legislative record masks difficulty in defining goals.

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OECD spread
Central strategic planning in Belgium is limited, with decision-making taking place in independent ministries.

However, coordination between ministries is necessitated by the need to reach coalition consensus. Such consensus can sometimes be fleeting, resulting in contradictory government statements.

No official RIA requirement exists. Ex-ante policy evaluation is only weakly institutionalized.
Once proposed, government-sponsored bills are generally successful. However, intra-coalition strife often keeps policy goals from reaching the proposal stage.

In the period under review, all government-sponsored bills were adopted in parliament. The Senate and Constitutional Court each hold veto powers.

A complex structure of federal, regional and local governments complicates policy implementation.
Belgium's national government has been receptive to international reform trends, but these tend to lose coherence as applied regionally.

A small country, Belgium has pushed for more EU-wide coordination on issues such as tax policy. Recent governments have not been reform pioneers.
Belgium's decentralized governing structures are based on political compromises, rather than strategic calculations, and are difficult to reform.

No significant institutional reform took place in the period under review.
Belgium's complex institutional structure and regional divide helps lead to citizens' very low level of policy interest and understanding.

Media markets split by region and language aggravate this lack of comprehensive knowledge.

Parliament has, and uses, comprehensive executive oversight powers. Party programs are often detailed, but specific to one of the two regions.
Governments in charge
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SGI 09 review period (January 2005 to March 2007) is outlined in black.

Shown are: Prime minister or president, type of government, and ruling parties. Asterisks indicate national parliamentary or presidential elections.
Contributors
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Country scores and texts were produced by the country coordinator, based on comprehensive assessments by three country experts. For the individual experts’ reports, see download page.
 
Country coordinator
Dr. Kai-Uwe Schnapp
Institute of Political Science, University of Hamburg

Country experts
Prof. Dr. Benoît Rihoux
Université Catholique de Louvain

Dr. Micael Castanheira
Universite Libre de Bruxelles

Dr. Claus Hecking
Financial Times Deutschland GmbH & Co. KG