Pienkowski, Alex , Saito, Joyce Miharu,Tambunlertchai, Suchanan, (2016), “Public debt in low-income countries: Risks and opportunities”, Voxeu, 28 March
Initiatives to reduce public debt in low-income countries have made substantial progress over the past decade, but challenges remain and continue to evolve. This column presents the findings from a new IMF-World Bank report on these developments. Low-income countries have benefited from debt relief and favourable economic conditions, resulting in generally lower debt burdens and vulnerabilities. There has also been a shift in debt financing, with greater reliance on emerging market economies, international capital markets, and domestic sources. However, more recently, risks have begun to re-emerge necessitating fiscal prudence and improved debt management.
Relevant Posts
- Poghosyan, Tigran, (2015), “How Do Public Debt Cycles Interact with Financial Cycles?”, IMF, November.
- Ongena, Steven, Popov, Alexander, Van Horen, Neeltje, (2016), “The invisible hand of the government: “Moral suasion” during the European sovereign debt crisis”, Centre for Economic Policy Research, March.