Corruption and incompetence dog Albania’s energy plans

2021 ◽  
Keyword(s):  
Public Debt ◽  
Small Businesses ◽  
Budget Deficit ◽  
Clean Energy ◽  
Energy Prices ◽  
Content Type ◽  
Transmission Grid ◽  
Energy Projects ◽  
The Government ◽  
Renewable Energy Generation

Significance The authorities’ immediate aim was to prevent the escalation of sporadic protests against price rises. However, the prospects are also improving for the government’s plan to turn Albania into a regional leader in renewable energy generation. Impacts The government will try to accelerate rolling out new, clean energy projects and upgrading the transmission grid to stabilise energy prices. Prioritising subsidised electricity to households and small businesses at the expense of large consumers will drag down economic growth. Plans to rein in the budget deficit and cut public debt, inflated by spending related to the COVID-19 pandemic, will be blown off course.

Strong finances will help Russia fund budget deficit

2020 ◽  
Keyword(s):  
Budget Deficit ◽  
Risk Averse ◽  
Energy Prices ◽  
Global Energy ◽  
Sovereign Wealth Fund ◽  
Fiscal Stimulus ◽  
Government Bonds ◽  
Content Type ◽  
Budget Planning ◽  
The Government

Significance Hit by the COVID-19 pandemic and plummeting global energy prices in the first half of the year, the government drew on its substantial reserves to fund fiscal stimulus and additional pandemic-related spending. Its focus has shifted to domestic borrowing through bond issuance. Impacts The cut-off price used in budget planning is likely to be reduced, affecting the government's scope to plug revenue gaps. A domestic recession will make banks more risk-averse and keener to buy government bonds. Depreciation will boost the ruble-denominated value of the sovereign wealth fund.

Morocco sets global pace for renewables

2015 ◽  
Keyword(s):  
Climate Change ◽  
Renewable Energy ◽  
Clean Energy ◽  
Content Type ◽  
Global Force ◽  
Energy Projects ◽  
Generating Capacity ◽  
Electricity Mix ◽  
The Government ◽  
Do So

Subject Morocco renewables. Significance Morocco showcased the progress it has made with the development of renewable energy at the COP21 climate change conference in Paris. At the conference, Morocco pledged to increase the renewable contribution to its electricity mix to 52% by 2030. The government has already set a target of 42% of its electricity generating capacity based on renewables by 2020: 14% each from hydro, wind and solar plants. Impacts Morocco can derive political and diplomatic benefits by projecting itself as a leading global force in developing clean energy. It will have an even better opportunity to do so when it hosts the COP22 meeting in Marrakech in November 2016. Morocco's renewable energy projects have been underpinned by subsidies, but these are likely to diminish as costs fall. Depending on technology, Morocco could export electricity generated from renewables to Europe and countries in north and west Africa.

Italy's public debt will rise despite on-track deficit

2015 ◽  
Keyword(s):  
Public Finance ◽  
Public Debt ◽  
Budget Deficit ◽  
Pension Reform ◽  
Constitutional Court ◽  
Court Ruling ◽  
Content Type ◽  
National Statistics ◽  
The Government ◽  
Excessive Deficit Procedure

Significance A Constitutional Court ruling outlawing the 2012 pension reform highlighted the risks of significant deviations from austerity policies. However, even with a budget deficit of 3% of GDP, Italy can avoid returning to the EU's excessive deficit procedure. Impacts The Constitutional Court's ruling shows how difficult it might be for Italy to meet the European Commission's debt and deficit goals. The government could use the 'safeguard clauses' in its public finance plans to raise extra taxes. If the national statistics agency ISTAT had not changed its GDP methodology, public debt would stand above 135% of GDP.

Energy reform will hit investor confidence in Mexico

2021 ◽  
Keyword(s):  
United States ◽  
International Trade ◽  
Trade Agreements ◽  
The United States ◽  
Energy Prices ◽  
Content Type ◽  
Investor Confidence ◽  
International Trade Agreements ◽  
The Government ◽  
Energy Reform

Significance The government will appeal the rulings, which follow action by renewables firms. With constitutional battles over energy investments already unfolding, the future of Mexico’s energy framework has been thrown into turmoil. Impacts Increasing energy prices will probably push inflation above Banxico’s upper target limit of 4%. AMLO’s apparent disregard for international trade agreements will strain relations with the United States. AMLO’s pro-austerity fiscal stance could take a toll on his popularity.

ՀՀ տնտեսության պարտքային անվտանգության խնդիրները Արցախյան պատերազմի համատեքստում

2021 ◽  
pp. 181-188
Author(s):  
Ani Grigoryan
Keyword(s):  
Public Debt ◽  
Budget Deficit ◽  
External Debt ◽  
Military Operations ◽  
Economic Problems ◽  
Political Situation ◽  
Debt Burden ◽  
Military Expenditures ◽  
The Republic ◽  
The Government

The 2020 began with the Coronavirus crisis and ended with the Artsakh war, causing both financial and human losses. An extremely difficult economic and political situation was created for the Republic of Armenia. The volume of military expenditures, which is expenditure priority due to military operations, has increased by about 40 billion drams in the current year. The epidemic restrictions reduced tax revenues by about 113 billion drams. The purpose of this article is to reveal the challenges that Armenia has been facing, due to the epidemic and the Artsakh war, substantiating the approach, that the above-mentioned instabilities will inevitably lead to a violation of the logic of the planned economic growth. During the research, the indicators of the government debt-to-GDP ratio of different years were calculated by the method of quantitative analysis, which show the amount of the debt burden. As a result of the research we came to the conclusion that the economic problems will lead to an increase in the budget deficit. And the lack of the resources to finance the latter will make it inevitable for the Republic of Armenia to attract new external public debt, which will increase the already heavy external public debt burden of the RA. Considering the above-mentioned issues as a priority, this article aims to study the dynamics of the external debt obligations of the RA economy during the difficult economic and political period for the Republic of Armenia.

Norway’s new government will favour continuity

2021 ◽  
Keyword(s):  
Financial Markets ◽  
Climate Policy ◽  
Energy Prices ◽  
Sovereign Wealth Fund ◽  
Content Type ◽  
The Core ◽  
Eu Membership ◽  
The Government

Significance The Labour, Centre and Socialist Left parties together hold a majority of parliamentary seats. Labour and Centre seem certain to form the core of the government; they might rule as a minority if they cannot bridge disagreements with the more radical Socialist Left over tax and climate policy. Impacts The election represents the best result for anti-EEA parties since Norway’s 1994 vote to reject EU membership. A sustained downturn in global financial markets could reduce the spending resources of Norway’s huge sovereign wealth fund. European demand for Norwegian gas will increase amid rising energy prices across Europe, partially caused by reduced production.

Five-party Czech government must compromise on policy

2022 ◽  
Keyword(s):  
Prime Minister ◽  
Energy Prices ◽  
Member States ◽  
Content Type ◽  
Eu Integration ◽  
The Government ◽  
Social Uncertainty

Significance The five-party coalition enters office at a time of intense economic and social uncertainty resulting from the COVID-19 pandemic, rising debt and soaring energy prices. Prime Minister Petr Fiala's greatest challenges involve negotiating between the five coalition partners and restoring respectability to Czech politics. Impacts The new government will be less sceptical about closer EU integration, given the upcoming Czech EU presidency from mid-2022. The government will try to reopen EU Green Deal chapters to renegotiate compensation for highly industrialised member states. Former Prime Minister Andrej Babis may run for president in 2023. Babis will strive to avoid losing parliamentary immunity from prosecution relating to the Stork’s Nest affair and alleged EU subsidy fraud.

Portuguese coalition parties may clash over austerity

2016 ◽  
Keyword(s):  
Economic Growth ◽  
European Commission ◽  
Budget Deficit ◽  
Banking Sector ◽  
Content Type ◽  
Rating Agencies ◽  
Structural Funds ◽  
The Government

Significance This reflects the significant risks lying ahead for the government despite the European Council's decision on August 9 to waive fines for Portugal over its excessive budget deficit in 2015. Impacts The European Commission retains the possibility of suspending structural funds for Portugal. The decision to waive the fine could undermine the credibility of EU rules in the long term. Slower economic growth and the weak banking sector could lead to Portugal being downgraded by rating agencies.

Ghana's IMF bailout to persist despite souring ties

2016 ◽  
Keyword(s):  
Central Bank ◽  
Budget Deficit ◽  
Credit Rating ◽  
Gdp Growth ◽  
Content Type ◽  
Bank Financing ◽  
Electricity Crisis ◽  
Manufacturing Activity ◽  
The Government ◽  
The Imf

Significance Earlier this month, the government passed a bill allowing for central bank financing of the budget deficit, contravening a core requirement in its agreement with the Fund. Earlier breaches led to the fourth tranche of the bailout (worth 114 million dollars) being withheld. Impacts Other donors will withhold aid disbursements until the impasse between Accra and the IMF is resolved. The electricity crisis will continue to undermine manufacturing activity, contributing to disappointing GDP growth. Ivory Coast's pro-business reforms mean it could attract investors deterred by Ghana's economic woes. Prolonged tensions with the IMF coupled with a deterioration its Ghana's fiscal metrics may drive a credit rating downgrade.

HDZ leader could supplant Croatia's non-party premier

2016 ◽  
Keyword(s):  
Decision Making ◽  
Public Debt ◽  
Social Situation ◽  
Content Type ◽  
Reform Agenda ◽  
The Public ◽  
Nationalist Party ◽  
Ethnic Tensions ◽  
The Government ◽  
Uncertain Outcomes

Significance The package could be the government's swan song. One coalition party, the centre-right Bridge (Croatian: Most) of Independent Lists, strongly supported a reform agenda from the beginning, but Croatia's main nationalist party, the Croatian Democratic Union (HDZ), did not. This, in addition to key appointments, has become a major point of dispute between them, blocking decision-making. HDZ leader Tomislav Karamarko has been frustrated in his ambition to control the government and especially the security apparatus. Impacts Political instability could cause further political and ethnic tensions, with uncertain outcomes. Persistent deadlock will worsen Croatia's parlous economic and social situation. Instability could frustrate consolidating Croatia's exit from its six-year recession in 2015 and reducing the public debt from 87% of GDP.

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