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
Complying with Fiscal Rules in Latin America and the Caribbean: From Promises to Action
Fiscal rules have become a common policy tool to promote the sustainability of public finances, as the number of countries with at least one fiscal rule has grown from ten in 1991 to more than 100 by 2021. Although fiscal rules promise to support fiscal discipline and maintain debt sustainability, their track record is often mixed, as simply adopting a fiscal rule does not … [Read more...] about Complying with Fiscal Rules in Latin America and the Caribbean: From Promises to Action
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?
It is Time to Do Away with Boards in State-Owned Enterprises and Create a New Model of Monitoring
In many countries, state-owned enterprises (SOEs) play a key economic role, either as providers of fundamental public services or generating fiscal revenues by controlling strategic assets. To better achieve the objectives for which they were created, SOEs need to use their resources efficiently and effectively. As a result, how governments monitor and govern these institutions … [Read more...] about It is Time to Do Away with Boards in State-Owned Enterprises and Create a New Model of Monitoring
Women-Owned Business Certification Programs “Sello Empresa Mujer”: An Effective Tool to Promote Women’s Participation in Public Procurement
Public procurement accounts for around 13-20% of global GDP, so it has the potential to be an important tool for governments to promote gender equality. Women-led businesses are currently underrepresented in public procurement awards. It is estimated that less than one percent of the $10 trillion spent annually on global public procurement is awarded to women-owned … [Read more...] about Women-Owned Business Certification Programs “Sello Empresa Mujer”: An Effective Tool to Promote Women’s Participation in Public Procurement