Request for Proposals: Macroeconomic Analysis and Policy Modelling – South Africa

The papers produced under this request will be published as a part of the macro-fiscal analysis and policy modelling workstream of the programme.

The call invites South Africa-based researchers to apply. It offers a unique opportunity to undertake both theoretical and evidence-based research that will help identify unintended consequences of policy changes and guide macroeconomic policy design and implementation.

South Africa is currently confronted with key challenges including poverty, inequality, heightened unemployment, and high public debt, that require a pressing attention to get the country’s economy back on track and generate growth. While structural reforms are required to address these challenges effectively, macroeconomic policy-driven research is also needed.

Research Areas

• This request for research proposals therefore includes the following research areas, among others:
  • Optimal design and implementation of fiscal policy (including public investment and debt, tax policy and expenditure), and the assessment of its effectiveness.
  • Analysis of monetary policy (including the evaluation of SARB core mandate of keeping inflation within the 3 to 6 percent range, and whether it has supported a stable and competitive real exchange rate), assessment of its transmission channels, and investigation of unintended effects of policy changes.
  • Financial stability and macro-prudential policy, including the analysis of the impact of financial innovation on financial stability, and the design and implementation of macro-prudential policy.
  • Macroeconomic policy coordination, including the investigation of the relationship between monetary and macro-prudential policy, the analysis of spill-over effects of the fiscal, monetary, and macro-prudential policy-mix.
  • South Africa as a small open economy and the impacts of global shocks (both from a positive and normative perspectives). Recent such disturbances include the outbreak of the global Covid pandemic and the rapidly changing geopolitical landscape, with their corollary of worsened macroeconomic and financial uncertainty, and supply chains disruption.
  • Enhancement of the forecasting, and policy analysis and modelling tools, including the development of structural models that will help improve the ability to forecast and simulate the effects of potential policy changes critical for South Africa.

Eligibility Criteria

• Applicants:
  • Against this backdrop, UNU-WIDER together with the National Treasury announce a request for proposals on topics within the research areas. Proposals from individuals, groups of individuals, and non-profit organizations are welcome.
• Special consideration will be given to research teams that include:
  • South African researchers
  • Junior and early-career researchers
  • Female researchers
  • Researchers from historically disadvantaged universities (HDIs)

Evaluation Criteria

• Each proposal will be reviewed for scientific merit and feasibility. Proposals will be selected based on three criteria: (i) relevance to the research project, (ii) strength of empirical and policy contributions, and (iii) quality and clarity of writing. Based on this assessment, a pool of suitable proposals will be determined.

For more information, visit UNU-WIDER.