Mozambican debt fallout will persist over Kroll report

2017 ◽  
Keyword(s):  
Financial Institutions ◽  
Large Scale ◽  
International Financial Institutions ◽  
Short Term ◽  
State Budget ◽  
Content Type ◽  
Domestic Debt ◽  
Financing Costs ◽  
International Donor ◽  
The Government

Significance Risk firm Kroll was looking into undisclosed state loans worth 2 billion dollars, but it said that the Mozambican government did not collaborate fully with the firm's investigation and that the CEO of the three companies openly blocked attempts to locate futher information. Expectations that the IMF and the international donor community would start talks on new funding agreements with Maputo have subsequently stalled, while mounting domestic loans taken out by the government have further soured relations with international financial institutions. Impacts Lack of transparency over financing of the state budget will preclude large-scale donor budgetary assistance in the short term. The private sector will increase its calls for the government to renegotiate the scheduling of domestic debt repayments. The ongoing debt fallout could raise infrastructure financing costs and delay several liquefied natural gas (LNG) mega-investments.

Nigeria's hefty budget will not dispel investor unease

2016 ◽  
Keyword(s):  
Central Bank ◽  
State Government ◽  
Negative Impact ◽  
Tax Compliance ◽  
Value Added ◽  
Short Term ◽  
State Budget ◽  
Content Type ◽  
The Government ◽  
Final Text

Subject Outlook for Nigeria's 2016 state budget. Significance The Senate this week will forward President Muhammadu Buhari the revised 2016 state budget, which it passed on March 23. Buhari says that he will assess it "ministry by ministry" before signing it into law to ensure that there are no irregularities in the final text. The 6.06-trillion-naira (30.6-billion-dollar) spending plan is 17 billion naira lower than the initial budget proposed by the government in December 2015. Impacts Buhari is unlikely to consider raising the value added tax given its effect on living costs, which would hurt the APC electorally. The central bank will likely keep currency restrictions in place, at least in the short term, despite their negative impact on firms. The tax compliance drive will be most effective in Lagos, due to heavy investment in collection capacity by the state government.

Tajik remittance slump will weaken flawed banks

2016 ◽  
Keyword(s):  
Financial Institutions ◽  
Banking Sector ◽  
Banking System ◽  
International Financial Institutions ◽  
Content Type ◽  
Bank Deposits ◽  
The Rich ◽  
The Government ◽  
Main Banks ◽  
Poor Management

Subject Tajikistan's troubled banking sector. Significance Tajikistan's banking system has been in crisis since 2015, as problems in Russia feed through to this remittance-dependent economy. A decline in funds sent home by labour migrants has shrunk bank deposits, and the proportion of non-performing loans has risen sharply. The cash crisis is exacerbated by poor management and cronyism in financial institutions. The main banks, Tojiksodirotbank and Agroinvestbank, have restricted customer withdrawals. Impacts International financial institutions will condition assistance on reforms. However, the government will balk at any reform measures liable to hurt the rich and powerful. The government may seek Chinese support for the banking sector.

Zimbabwe's opposition will bank on electoral alliance

2017 ◽  
Keyword(s):  
Human Rights ◽  
Food Security ◽  
Financial Institutions ◽  
Public Expenditure ◽  
Fall Armyworm ◽  
International Financial Institutions ◽  
Content Type ◽  
Human Rights Abuses ◽  
The Government ◽  
Ruling Party

Significance With the country mired in a deepening economic crisis and the ruling party engaging in debilitating succession struggles, opposition parties are debating whether they can exploit the government's fiscal woes to contest forthcoming by-elections and national polls or to boycott elections in part or altogether. Impacts A fall armyworm outbreak is likely to devastate crops nationwide, prompting a food security crisis. The government will likely resist pressure from international financial institutions to curb public expenditure ahead of the 2018 elections. Increased human rights abuses by the authorities would prompt international condemnation and possible resumption of broader EU sanctions.

Tajik bond issue is symptom of chronic debt addiction

2017 ◽  
Keyword(s):  
Financial Institutions ◽  
Budget Deficit ◽  
Foreign Currency ◽  
External Debt ◽  
Limited Capacity ◽  
Budget Deficits ◽  
International Financial Institutions ◽  
Bond Issue ◽  
Content Type ◽  
The Government

Subject Tajikistan's search for loans. Significance The government has successfully issued a bond to finance construction of the costly, high-prestige Roghun hydroelectric scheme. With limited capacity to increase revenue, the government finances budget deficits and new projects with loans and grants from international financial institutions (IFIs) and other foreign sources, notably China. Impacts External debt will mount up through persistent borrowing to cover the budget deficit. Debt servicing is risky given Tajikistan's vulnerability to fluctuating cotton and aluminium prices. Electricity exports are seen as a new foreign currency source but the major new plant is unfinished. Officials may view bond issuance as a 'cost-free' way of funding projects when IFIs shy away.

Israel’s 2019 budget assumptions have long-term risks

2018 ◽  
Keyword(s):  
Fiscal Policy ◽  
Prime Minister ◽  
Short Term ◽  
State Budget ◽  
Content Type ◽  
Coalition Stability ◽  
The Government

Significance The Knesset (parliament) approved the 2019 state budget on March 15, over nine months early. The 480-billion-shekel (138-billion-dollar) spending package is mildly expansionary at a time when the economy is near capacity -- and locks in fiscal policy far in advance. However, Prime Minister Binyamin Netanyahu was determined to pass the budget now to avoid rifts that could bring down the government before scheduled elections in November 2019. Impacts Approval of the 2019 budget should help the Netanyahu government achieve short-term coalition stability. Major expenditure hikes on education, health and transport will reverse years of underspending. Replacement of Governor Karnit Flug after mild criticism of the government could damage the Bank of Israel’s perceived independence.

Florida voters react to Biden's Caribbean policy

2021 ◽  
Keyword(s):  
Disaster Relief ◽  
Electoral Politics ◽  
The State ◽  
Pivotal Role ◽  
Economic Recovery ◽  
Short Term ◽  
Content Type ◽  
Family Connections ◽  
The Caribbean ◽  
The Government

Significance Many areas of the Caribbean have trade, investment and family connections with communities in Florida. As the state now plays a pivotal role in US electoral politics, crises in the region can take on added political importance for parts of Florida’s electorate. Impacts Forecasts of short-term economic recovery for Florida remain highly uncertain given the continuing impact of the pandemic. Clashing interests across the Caribbean may demand greater coordination of US policy than the government can currently offer. Healthcare and disaster relief capabilities within the state are severely overstretched and could be overwhelmed by a new crisis.

Indonesia’s new investment ministry faces headwinds

2021 ◽  
Keyword(s):  
Central Bank ◽  
Foreign Investment ◽  
Short Term ◽  
Sovereign Wealth Fund ◽  
Content Type ◽  
Speed Up ◽  
The Government ◽  
Roll Out

Significance The government hopes greater domestic and foreign investment can help turn around the pandemic-hit economy. The governor of Bank Indonesia (BI), the central bank, last week said GDP should grow by 4.6% in 2021, compared with last year’s 2.1% contraction. Impacts Indonesia will count on private vaccination, whereby companies buy state-procured jabs for their staff, to help speed up its roll-out. The Indonesia Investment Authority, a new sovereign wealth fund, will prioritise attracting more investment into the infrastructure sector. Singapore will continue to be Indonesia’s largest source of FDI in the short term.

scholarly journals THE SUSTAINABILITY OF STATE BUDGET IN DEBT REPAYMENT

2011 ◽  
Vol 13 (4) ◽  
pp. 415-434
Author(s):  
Haryo Kuncoro
Keyword(s):  
Data Analysis ◽  
Central Government ◽  
Foreign Debt ◽  
Theoretical Background ◽  
Fiscal Sustainability ◽  
Government Budget ◽  
State Budget ◽  
Quarterly Data ◽  
Domestic Debt ◽  
The Government

This paper is designed to analyze the sustainability of the central government budget in the case of Indonesia over the period of 1999-2009. First, we explore the theoretical background of the fiscal sustainability. Second, we develop a model to capture some factors determining the fiscal sustainability. Unlike the previous studies, we use both domestic debt and foreign debt to assess the fiscal solvency. Finally, we estimate it empirically. Based on the quarterly data analysis, we concluded that the government budget is unsustainable. This is associated with domestic debt rather than foreign debt. They imply that the central government should manage the debts carefully including re-profile, re-schedule, and re-structure them in order to spread the excess burden in the future. Also, the fiscal risks should be calculated comprehensively in order to maintain solvency.Keywords: Domestic debt, Foreign debt, Fiscal sustainability, Primary balanceJEL Clasbsification: E62, H63

scholarly journals An analysis of Indonesian government policies against COVID-19

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ali Roziqin ◽  
Syasya Y.F. Mas’udi ◽  
Iradhad T. Sihidi
Keyword(s):  
Literature Review ◽  
Narrative Analysis ◽  
Large Scale ◽  
Preventive Measure ◽  
Safety Net ◽  
Government Policies ◽  
Content Type ◽  
Indonesian Government ◽  
Social Restriction ◽  
The Government

PurposeCOVID-19 cases in Indonesia continue to increase and spread. This article aims to analyse the Indonesian government policies as a response in dealing with COVID-19.Design/methodology/approachThis article is a narrative analysis with the approach of a systematic literature review.FindingsThis article found that the Indonesian government responded slowly to the COVID-19 pandemic at the beginning of its spread in March 2020. The government then issued some policies such as physical distancing, large-scale social restriction (PSBB - Pembatasan Sosial Berskala Besar) and social safety net. These policies will only work if the society follows them. The society could be the key to success of those policies, either as the support or the obstacles.Practical implicationsThis policy analysis with literature review, conducted from March to July 2020 in Indonesia, provides experiences and knowledge in how to respond to the dynamic problems of public policy in dealing with the COVID-19 outbreak, especially in the context of a developing country.Originality/valueThe novelty of the article lies in the unique policy response in a diverse society. It suggests that the policymakers should pay more attention to the society’s characteristics as well as the mitigation system as a preventive measure and risk management to make clear policy in the society.

STUDY OF THE DYNAMICS AND STRUCTURE OF THE STATE DEBT OF UKRAINE, METHODS OF ITS OPTIMIZATION

2018 ◽  
Author(s):  
Stepan Paranchuk ◽  
◽  
Roksolana Skip ◽  
Keyword(s):  
Public Debt ◽  
Financial Stability ◽  
The State ◽  
State Budget ◽  
Government Bonds ◽  
Advantages And Disadvantages ◽  
Safe Level ◽  
Domestic Debt ◽  
The Government ◽  
External Borrowing

One of the leading problems of Ukraine's economy at the present stage of its development is the issue of public debt, the constant increase in its size, irrational structure, which creates the preconditions for the dollarization of the national economy. Public debt is an important element of a market economy. As of today, there is no state that would not use borrowed funds. Borrowing by the state is due to the lack of own financial resources needed to finance the state budget and state functions. If used effectively, borrowed funds can be a positive factor in economic growth, but otherwise the increase in debt leads to economic dependence, deteriorating financial stability, as well as the financial crisis. The article reveals the issue of public debt of Ukraine, analyzes the dynamics of its value from 2009 to 2021 and identifies the reasons for the growth and / or reduction of this indicator. A study of the structure of debt obligations on the basis of the creditor, analyzed the advantages and disadvantages of internal and external borrowing. The article also provides a detailed description of the structure of internal and external creditors, the main tools used by the Government of Ukraine to attract domestic loans. Particular attention is paid to the analysis of domestic debt in terms of the structure of domestic government bonds. The ratio of public debt to gross domestic product and its comparison with the marginal and safe level are considered. A forecast was made for the amount of public debt for the future.

Sign in / Sign up

Export Citation Format

Share Document