Managing Subnational Credit and Default Risks | |
Waibel, Michael ; Liu, Lili | |
关键词: ADJUSTMENT OF DEBT; ADMINISTRATIVE PROCEDURES; ARREARS; ASSET; ASSETS; | |
DOI : 10.1596/1813-9450-5362 RP-ID : WPS5362 |
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学科分类:社会科学、人文和艺术(综合) | |
来源: World Bank Open Knowledge Repository | |
【 摘 要 】
As a result of worldwidedecentralization, subnational debt is rising. Subnationaldebt crises in major developing countries in the 1990s haveled to strengthened regulatory frameworks for subnationalborrowing and insolvency. With the fragility of the globalrecovery and increasing public debt, and the structuraltrends of decentralization and urbanization, it becomes moreimportant to prudently manage subnational default risks.Although the regulatory frameworks share central features,the historical context and entry points for reform drivevariations across countries. Addressing soft budgetconstraints is integral to the regulatory framework. Ex antefiscal rules for subnational governments attempt to limitdefault risks; ex post regulation predictably allocatesdefault risk, while providing breathing space for orderlydebt restructuring and fiscal adjustment, as well as thecontinued delivery of essential public services. Theregulatory reforms are inseparable from the reform ofbroader intergovernmental fiscal systems and financial markets.
【 预 览 】
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WPS5362.pdf | 557KB | download |