Amid the unprecedented challenges unleashed by the COVID-19 pandemic worldwide, Latin America and the Caribbean (LAC) faced a pressing need: have intelligent tools to anticipate and manage risks threatening the economic and fiscal stability of the region. In response to this need, FISLAC (Fiscal Sustainability for Latin American and Caribbean Countries) was born, an … [Read more...] about First Year of FISLAC: Transforming Fiscal Sustainability in Latin America and the Caribbean
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The Development of Treasury Bond Market Programs in Fragile Countries: The Case of Haiti
Treasury bond markets play a pivotal role in the economic development and fiscal management of fragile countries, as they allow governments to secure funds from both the public and institutional investors, reducing the pressure on governments to print out money to finance their budgets. This means treasury bond markets can contribute to more stable economies, reducing the risk … [Read more...] about The Development of Treasury Bond Market Programs in Fragile Countries: The Case of Haiti
Economy and finance ministries in the face of climate change: 7 advancements in the green fiscal agenda
There is no turning back now, the ministries of economy and finance are at the heart of climate action. These ministries are crucial in the fight against climate change, as both the goals of decarbonization and those of resilience and biodiversity protection demand strategic actions that require their unique management, leadership, and coordination abilities. What are … [Read more...] about Economy and finance ministries in the face of climate change: 7 advancements in the green fiscal agenda
How to Prevent Debt from Hurting Economic Growth
Three years after the onset of the COVID-19 pandemic, countries in Latin America and the Caribbean (LAC) are still dealing with its economic consequences. Currently, one of the main points of concern is the excessive level of public indebtedness and the risk it represents to economic stability and economic growth. This year the IDB published its flagship study … [Read more...] about How to Prevent Debt from Hurting Economic Growth
How Do Inflation Shocks Affect Public Debt Dynamics?
The COVID-19 pandemic had a very large impact on government finances. As governments saw their revenues reduced and their expenditures increased to cope with the health and social emergencies, the public debt rapidly mounted. By the end of 2020, the debt-to-GDP ratios had increased by 10 percentage points (pp) compared to pre pandemic levels in the average emerging … [Read more...] about How Do Inflation Shocks Affect Public Debt Dynamics?