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This study undertakes a comprehensive bibliometric analysis of publications pertaining to the external public debt management system. The paper aims to study the evolution of scholarly discourse surrounding the external public debt management domain, highlighting contributions, methodologies, and collaborative networks within the field. The methodology encompasses a multivariate approach, incorporating extensive searches across the three major scientometric databases: Google Scholar (PoP), Scopus (in-built Scopus tools, SciVal), and Web of Science (in-built WoS instruments). The bibliometric analysis extends to contextual, evolutionary, and spatial dimensions, allowing for a comprehensive understanding of the identified clusters. The ensuing clusters serve as a roadmap, categorizing publications based on their contextual relevance, evolutionary trajectory, and spatial focus, which enhances the identification of key works in the field, facilitating a nuanced understanding of the current state of external public debt management research. The synthesis of findings from the content-contextual block emphasizes a primary orientation toward understanding the dynamic interplay between external public debt management and economic development. Furthermore, the contextual-temporal block identifies four distinct stages in the evolution of research focus, highlighting the shifting emphasis over time. A discernible pattern of heightened research activity in external public debt management across various countries in recent decades is revealed through spatiotemporal analysis. The interdisciplinary nature of this field is underscored by the dominance of economics, econometrics, finance, business, management, and accounting in dedicated research.

This paper proposes a methodology to price bonds jointly issued by a group of countries—Eurobonds in the euro-area context. We consider two types of bonds; the first is backed by several and joint guarantees (SJGs), and the second features several but not joint guarantees (SNJGs). The pricing of SJG and SNJG bonds reflects different assumptions regarding the pooling of debtors' fiscal resources. We estimate fiscal limits for the six largest euro-area economies over 2008–2021 and deduce counterfactual Eurobond prices. For the five-year maturity, SNJG bond yield spreads would have been about three times larger than SJG ones over the estimation sample. Hence, issuing SJG bonds could result in gains at the aggregate level. Notwithstanding, our model also predicts that gains may temporarily vanish in periods of acute fiscal stress. We finally envision postissuance redistribution schemes, whereby gains stemming from the issuance of SJG bonds could be shared among participating countries; we argue that these schemes may alleviate the reduction in market discipline resulting from common bonds issuance. This paper was accepted by David Sraer, finance. Funding: This work has benefited from financial support from the Swiss National Science Foundation [Grant 182293]. Supplemental Material: The data files and online appendix are available at https://doi.org/10.1287/mnsc.2023.4740. [ABSTRACT FROM AUTHOR]

One of the tools of economic policy of any country is efficient public debt management, which influences and determines the dynamics of key macroeconomic indicators. The study aims to assess how public debt management affects Ukraine’s macroeconomic development. The analyzed period includes data of 2015–2021. Econometric modeling is used to establish the existence of causal relationships between the dynamics of public debt and changes in key macroeconomic indicators using the Granger causality test and VAR (Vector Autoregression) model. The obtained results demonstrate that during the study period, the strongest links existed between the public debt and GDP, debt servicing and Ukraine’s total state budget expenditures, public debt and consumer price index, real effective exchange rate index of the hryvnia to the US dollar, and political stability index. At the same time, the calculations proved that public debt does not have a significant impact on foreign direct investment and the level of imports of goods and services. The proposed model allows for forecasts for future periods and can be used in developing public debt management policy.

The purpose of the study. The purpose of the paper is to assess the effectiveness of the use of regional budget expenditures on the example of the budgets of the Nizhny Novgorod and Mur-mansk regions. Materials and methods. General scientific methods are involved: analysis, synthesis, gener-alization, classification; and specifically scientific methods: dynamics analysis, correlation and re-gression analysis, neural network modeling. The information base of the study includes indexes of the execution of the federal budget of the Russian Federation (information from the Federal Treas-ury of the Russian Federation) and regional budgets published in the relevant laws of the regions; statistical data published by Rosstat. The novelty of the research approach lies in the combination of traditional and economic-mathematical methods with the use of the Cobb-Douglas production func-tion. This fact provided an opportunity to assess the impact of budget expenditures on individual factors of production that determine the volume of public product produced. The paper presents a comparative assessment of the effectiveness of budget planning based on normative and program-target methods.Results. It was found that the use of budget funds in the Murmansk region is more effective than in the Nizhny Novgorod region. In this region, starting from 2019, the priority of the task of developing a program-targeted method of budget planning has been reduced, but the region has achieved high efficiency in the use of budget funds due to rational management of budget debt. The budget of the Murmansk Region is characterized by a significant reduction in the debt burden, which reduces the share of public debt servicing costs, and the ratio of the amount of public debt to the expenditures of the regional budget by the end of 2021 approached zero. The study showed that budget expenditures have a significant positive impact on the growth of the capital factor. At the same time, the growth of budget expenditures has a more negative impact on the development of the labor factor. It was found that when using the program-target method, a number of program ex-penditures have a positive impact on the growth of the labor force in the regions, but the degree of such influence is insignificant.Conclusion. In the course of the study, the authors concluded that the efficiency of using budget funds in the Murmansk region is higher than in the Nizhny Novgorod region. This circum-stance indicates a greater influence on the efficiency of the use of budget funds of the quality factor of public debt management in comparison with the influence of the factor of the application of the program-target method of budget planning. The results of the conducted research may be useful to government agencies responsible for planning and budgeting.

The aim of the article is to deepen and develop the scientific foundations of disclosure of the essence and significance of fiscal rules in the budget process, the features of their practical application in the countries of the world in the context of strengthening the debt security of Ukraine. The article systematizes fiscal rules by kinds, provides an essential characterization, identifies the disadvantages and advantages of their practical application in order to manage the debt security of the State. The popularity and frequency of application of various kinds of fiscal rules in the budget process of 106 countries of the world for the period from 1990 to 2021 are determined, some visual graphs are built. The distribution of fiscal rules by kinds in the context of economic groups of the countries of the world is carried out, an assessment of their effectiveness in the implementation of counter-cyclical fiscal policy is provided. The practice of using fiscal rules in the budget process of Ukraine is disclosed, the reasons for violation of their marginal indicators during military aggression are determined. The need to use a combination of different kinds of fiscal rules in order to achieve positive effects on debt security and level the cyclical nature of fiscal policy is emphasized. Proposals for improving the process of public debt management in the context of ensuring the optimal level of debt security of Ukraine are substantiated. Prospect for further research in this direction is to prove the need to restore the system of fiscal rules after the end of the war and bring it to the requirements of the European Union, taking into account the European integration vector of Ukraine’s development.

Forecasting external public debt under conditions of uncertainty is important as it allows the country to respond adequately to economic and financial challenges, promotes efficient management of financial resources, formation of a stable financial policy and ensures the country's external debt security, which are critical elements for ensuring economic sustainability and sustainable development. The article's main purpose is to critically analyze and apply existing time-series forecasting methodologies to determine the future values of Ukraine's external public debt in conditions of uncertainty caused by the still unresolved consequences of the COVID-19 pandemic and russia's invasion and full-scale war in Ukraine. Using three forecasting methods, namely trendline extrapolation, exponential smoothing, and autoregressive and moving average models, the paper forecasts the volume of external public debt until 2029 and presents a graphical representation of the debt dynamics from 2011 to 2029. The most pessimistic forecast for the growth of external public debt was revealed when applying the method of data extrapolation based on the trendline. A comparative analysis of the forecast values for the three forecasting methods has revealed common trends in the growth of public debt, as well as the key advantages and disadvantages inherent in each model. Importantly, the article emphasizes the common risks identified in forecasting Ukraine's external debt using time series analysis models, including the problem of achieving only short-term forecasting accuracy and insufficient flexibility taking into account complex and unexpected changes that may arise in conditions of uncertainty and economic instability. The results of the study provide valuable information for policymakers and stakeholders trying to navigate the complexities of managing external public debt under uncertainty.

Forecasting external public debt under conditions of uncertainty is important as it allows the country to respond adequately to economic and financial challenges, promotes efficient management of financial resources, formation of a stable financial policy and ensures the country's external debt security, which are critical elements for ensuring economic sustainability and sustainable development. The article's main purpose is to critically analyze and apply existing time-series forecasting methodologies to determine the future values of Ukraine's external public debt in conditions of uncertainty caused by the still unresolved consequences of the COVID-19 pandemic and russia's invasion and full-scale war in Ukraine. Using three forecasting methods, namely trendline extrapolation, exponential smoothing, and autoregressive and moving average models, the paper forecasts the volume of external public debt until 2029 and presents a graphical representation of the debt dynamics from 2011 to 2029. The most pessimistic forecast for the growth of external public debt was revealed when applying the method of data extrapolation based on the trendline. A comparative analysis of the forecast values for the three forecasting methods has revealed common trends in the growth of public debt, as well as the key advantages and disadvantages inherent in each model. Importantly, the article emphasizes the common risks identified in forecasting Ukraine's external debt using time series analysis models, including the problem of achieving only short-term forecasting accuracy and insufficient flexibility taking into account complex and unexpected changes that may arise in conditions of uncertainty and economic instability. The results of the study provide valuable information for policymakers and stakeholders trying to navigate the complexities of managing external public debt under uncertainty. [ABSTRACT FROM AUTHOR]

At the present stage of the market economy, in the conditions of rapid development of globalisation and cooperation of states in political, economic, and social aspects, public debt is an objectively determined phenomenon, it is an integral part of the country’s financial system. Nowadays, Ukraine is in a difficult situation caused by the outbreak of a large-scale war with russia, which is one of the main reasons for the existence of the public debt. Due to the insufficient amount of monetary resources in the budget, the state is forced to attract financial resources in order to perform its functions. The purpose of this study was to substantiate the theoretical essence of public debt, analyse current trends in the generation of public debt, and identify optimisation ways for effective public debt management in order to reduce it. The authors used the following scientific methods: empirical (description and comparison), theoretical (analysis, synthesis, and generalisation), and statistical. The study considers the essence of public debt according to the views of foreign and Ukrainian researchers. Based on statistical data, the current state of the public debt of Ukraine is characterised, and the dynamics of the public and government-backed debt for the period 2019-2022 are analysed. The volume of expenditures on repayment and servicing of the public debt of Ukraine is analysed. Based on the conducted research, the main reasons for the presence and growth of debt were identified, including the COVID-19 epidemic and the beginning of armed aggression on the part of russia; a decrease in the exchange rate of the national currency; a decline in production and a reduction in tax revenues; a decrease in the volume of the gross domestic product in real terms; a state budget deficit and a negative balance of payments; an increase in spending on ensuring the country’s defenсe capability and servicing public debt. The proposed recommendations would reduce the country’s public debt and increase the competitiveness of the economy at the world level, namely: increase the level of GDP, stimulate the development of small and medium-sized businesses to increase tax revenues to the budget, develop an effective strategy for managing public debt, etc.

The research aims to demonstrate the Islamic investment formulas in managing public debt in the Kingdom of Saudi Arabia and their importance through the issuance of Islamic instruments in the forms of Salam and Istisna'a as models for these tools. The research concluded with results, the most important of which are: The government’s strategy for managing public debt proved that it resorted to public debt in order to bridge the budget deficit, and one of the most prominent results is also the positive impact of issuing sukuk on the decrease in the debt service rate (interests), and the research recommended a number of recommendations, including: Expanding the circle of employment formulas Contracts of Islamic transactions in the issuance of sukuk, and the necessity of providing a financial institutional structure that supports the sukuk issuance project. [ABSTRACT FROM AUTHOR]

The article analyzes the current state of Ukraine’s debt in unstable conditions. The economic essence of the term «public debt management», as well as regulatory and legal support for the implementation of debt policy in the State, is given. It is noted that the management of both the public and the State-guaranteed debt is carried out by the Ministry of Finance of Ukraine. A dynamic analysis of Ukraine’s public debt for 2017-2021 was carried out. The structure of the total amount of the public debt and the State-guaranteed debt of Ukraine for 2017-2021 is examined in terms of internal and external debt. During the research, a structural analysis of public debt in Ukraine in terms of foreign currencies as of 2021 was carried out, the amount of funds allocated from the State Budget of Ukraine for debt servicing and payments on the State derivatives during 2017-2021 was analyzed. The ratio of public debt to gross domestic product is computed. The main problems of the government borrowing market are given. The peculiarities of the risks of the public debt of Ukraine are characterized. Modern sources of financing of the State budget are considered. The directions of optimization of the State policy in the field of public debt management of Ukraine are allocated.

Conventional understanding relegates the role of central banking to benchmark interest rate guidance which is supposed to have direct and straightforward impact on real economy. Accordingly, central banks are praised for and supposed to stay independent from treasuries and money markets while indirectly influencing both of them by that guidance. This article provides hints for an alternative explanation by investigating central bank dual connection with treasuries and private finance, especially money markets. It recounts the main financial episodes of the last decades from this institutional monetary economic perspective through a dynamic systems analysis covering money and financial aggregates, pointing to the peculiar ways in which this connection has been organised under the market-based (asset-based) finance regime and its systemic failure since 2007. [ABSTRACT FROM AUTHOR]

Whilst both the level and the make-up of public debt are high salience issues, the management of public debt seldom commands public attention. This study examines the quiet politics of public debt management in advanced capitalist societies, comparing debt management reforms and the everyday practice of debt management in Germany and the UK. We present evidence of two factors contributing to the political quietude around public debt management: a persistent absence of partisan contestation and conflict; and the dominance of 'market discipline' as an interpretative frame, which prevents changes in interest rates and debt servicing costs to be seen as the product of faulty debt management. We also find that this quietude creates a space for the coordination and cooperation between contemporary capitalist states and large dealer banks, whose capacities effectively to act within their respective domains depend on each other. [ABSTRACT FROM AUTHOR]

The article addresses the issues of ensuring the exchange rate stability of GEL - the national currency of our country and effective management and regulation of public debt as well as attaches weight to the mechanisms for overcoming the challenges of economic development in the country and to the selection and use of flexible tools. The article highlights the efforts of the leaders of the government and the National Bank of the country in developing and implementing the optimal macroeconomic policies, as well as in maintaining monetary policy stability and achieving sustainable economic development. Factors influencing both effective nominal and real exchange rates as well as government domestic and external debt are also assessed at different time intervals. Thus, the purpose of this article is to identify the issues related to the management and regulation of public debt based on the analysis of the dynamics and structure of public debt of Georgia, as well as to study the factors that have a positive and negative effect on them. This article aims to identify the issues related to the management and regulation of public debt obligations, on the basis of public debt sustainability analysis. The article, on the basis of statistical data, analyzes the dynamics and structure of public debt in 2010-2020. The problematic issues in the financial and monetary system are also identified and their determinants are investigated. Recommendations have been developed to reduce the debt burden and overcome the negative consequences caused by them. Based on the analysis of the economic situation in Georgia and the dynamics of the exchange rate, the recommendations for stabilizing the exchange rate of the financial sector, effective management of public debt and achieving sustainable economic growth have been developed in this article. Subject and object of research. The subject of the article's research is to identify problems related to the fluctuation of the Georgian national currency exchange rate and public debt regulation. While the object of the article is monetary policy that have been developed and implemented by the National Bank of Georgia and the Ministry of Finance of Georgia. Research methods. Relevant scientific literature as well as statistical data from the National Bank of Georgia, the Ministry of Finance and the National Statistics Office of Georgia were found at the initial stage of the research. In addition, the studies and articles by Georgian and foreign scholars on public debt issues and the materials of the International Monetary Fund were used. The scientific value of the article. The article analyzes the dynamics and structure of the GEL exchange rate and public debt in 2010-2020 based on the statistical data of Geostat and the Ministry of Finance of Georgia. Problematic issues in the field of finance and monetary-credit have been identified and their causes have been investigated. The recommendations have been developed to alleviate the debt burden of Georgia and overcome the negative consequences caused by them. Based on the analysis of the economic situation in Georgia and the dynamics of the GEL exchange rate, the article develops recommendations for improving the financial sector, stabilizing the exchange rate and ensuring effective public debt management and sustainable economic growth. It should also be noted that, the article addresses and assesses the approaches of the leaders of Government of Georgia and the National Bank to ensuring the formation and improvement of a stable macroeconomic environment. The role of monetary policy in ensuring the sustainable development of the economy is revealed. In addition, the mistakes in exchange rate regulation and public debt management are also identified and assessed. The article substantiates the crucial role of ensuring the stability of the GEL exchange rate in achieving economic growth. Besides, reviewing the GEL exchange rate is important not only against the USD, but also against the currencies of other trading partner countries. Accordingly, the paper, based on the statistical data, also analyzes the dynamics of changes in the GEL exchange rate against the currencies of partner countries. The article also analyzes the key factors affecting both effective nominal and real exchange rates, as well as domestic and external debt at different time intervals. [ABSTRACT FROM AUTHOR]

The article aims at systematizing the theoretical and methodological foundations of using credit default swaps in the external public debt management. Theoretical principles of using credit default swaps in the external public debt management are studied. The advantages and disadvantages of credit default swaps as derivative financial instruments are generalized. It is shown that the main disadvantages of credit default swaps are their speculative character and dependence on international rating agencies, as well as lack of proper regulation in the synthetic securitization of debt-based assets. The mechanism of credit default swap functioning in the risk management system in external state borrowings is conceptualized. The factors influencing the value of the credit default swap in the risk management system in external government borrowing are identified. It is shown that the main factors are the sovereign credit rating, the maturity of debt securities, liquidity and yield of external government bonds, market demand and supply of debt securities and default swaps. The dynamics of the value of credit default swaps on Ukraine’s debt securities is analyzed. The relationship between the swap value and geopolitical factors in the formation of the international investment position of the state is shown. In order to increase the efficiency of credit default swaps in external public debt management and minimize the interest rate risks of external government borrowings, it is suggested to amend norms and regulations, providing for the essence of default swap, the composition of the parties, accounting and value formation peculiarities.

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Relevance of the research topic. In the context of transformation changes, it is important to identify the priority areas of debt policy as an instrument of socio-economic development of the country, the introduction of effective instruments for managing public debt in the institutional environment. Quite important is the study on the efficiency of debt policy. Formulation of the problem. In modern conditions, during the period of financial globalization, public debt is an integral part of the financial systems of most countries of the world. Particularly important are the priorities of debt policy for countries with a transformational economy, because they need to allocate a significant amount of financial resources to carry out and achieve effective results of reforms. It is important to develop and implement a coherent debt strategy, as well as to correct it for solving current problems. Analysis of recent research and publications. The issue of debt policy of the state is quite relevant today for the majority of countries of the world and are common in scientific works of the well-known foreign and domestic scientists. The following foreign scientists have made a significant contribution to the study of public debt and debt policy: R. Barro, D. Buchanan, A. Wagner, J. Keynes, D. Ricardo, P. Samuelson, J. Stiglitz, W. Thompson, F. Friedman and others. The theoretical and practical questions concerning the formation, management and maintenance of public debt under conditions of transformational changes in the economy are devoted to the work of such Ukrainian scientists as O. Vasylyk, I. Zapatrina, L. Lisyak, I. Lukianenko, A. Mazaraki, M. Pasichnyi, V. Fedosov, I. Chugunov and others. Selection of unexplored parts of the general problem. However, there are a number of underdeveloped issues related to the formation and repayment of public debt in the context of the transformation of the economy in both the medium and long-term periods. Setting the task, the purpose of the study. The research objective is to analyze the state debt of Ukraine as a result of the implementation of debt policy. The purpose of the study is to determine the main tasks of the debt policy of Ukraine. Method or methodology for conducting research. The combination of research methods were used in writing the article: systematic approach, statistical analysis, structuring, analysis and synthesis, and others. Presentation of the main material (results of work). Indicators of state and state-guaranteed debt in terms of repayment currencies, the structure of domestic government loans that were raised to the budget by placing bonds on the primary market were analyzed in the article. The priority tasks of the debt policy in the medium and long-term perspective were proposed. The field of application of results. The results of this study can be applied in the process of formation and implementation of Ukraine's debt policy. Conclusions according to the article. At the present stage of economic development it is important to increase the impact of the use of debt management methods based on the formation of the debt policy priorities for the medium and long term persrective. In carrying out an effective debt policy, the government should reduce the spread of crisis phenomena and debt risks, as well as reduce the total debt burden on the economy. The article defines the priority tasks of Ukraine's debt policy in the medium term.

Abstract This paper addresses the question of the optimal debt level of a state (canton) that issues new bonds and subsequently invests the borrowed capital. For that purpose, we first estimate the effect of the debt level on the interest rate and then we contrast the predicted interest rate with potential revenue from the capital markets. The estimation is based on panel data from the 26 Swiss cantons between 1980 and 2015. The median performance of Swiss pension funds serves as a reference value for the revenue achieved in the capital market. The results show an exponential relationship between the debt and its interest rate; raising indebtedness by 1000 Swiss francs per capita makes the spread between the risk-free rate and the interest rate on the debt increase by 5%. Given this small effect, the inherent optimal debt level equals more than twice the initial levels and the reinvested uncommitted funds provide a return potential of nearly 5% of the total cantonal receipts, on average.

The article deals with the current state of the Russian Federation budget deficit and the level of its sources of financing, by means of which it is possible to compensate for it. We discuss several ways to cover the budget deficit, such as raising taxes, devaluation, privatization of state assets, as well as government borrowing on the domestic and foreign markets. As a result, it highlighted the most efficient source of budget deficit, taking into account the socio-political and economic consequences, affecting the country's economic situation.

The article considers the role of the public external debt of the budget of the Russian Federation. Also attention is paid to the influence of the level of public debt on the financial position of the country. Substantiated proposals to increase the external public debt management in the Russian Federation, resulting in proposed variant of increase of efficiency of public debt management Russia, optimization of the structure and minimize the consequences of its growth.

The COVID-19 pandemic caused the economic crisis in Georgia, as well as in many other countries of the world, and aggravated economic, social, cultural, educational, and other problems. Due to the pandemic, the restrictions and regulations introduced by the state sharply hindered economic activity, increased unemployment, aggravated inflation, and made the social problems of the population even more unbearable. The Georgian government has been forced to increase public debt, which has been growing in recent years and is a heavy burden on the country's population. The paper analyzes the measures taken by the Government of Georgia to overcome the crisis caused by the pandemic and expresses views on the potential challenges of the post-pandemic period, the tendency of public debt growth, the peculiarities of management. [ABSTRACT FROM AUTHOR]

The article examines the relationship between external debt and economic growth in emerging economies for the period 2006-2016. The authors used different econometric tools, e.g., ADL model and correlation analysis. The regression results showed that the original values had no significant impact on the estimation of the parameters. Thus, there was made an assumption that emerging economies have a non-linear impact on macroeconomic parameters, including external debt that has a non-linear type of influence on economic growth. The authors established that high level of external debt, in conjunction with macroeconomic instability, impedes economic growth in such countries. The regression model also showed that there is a critical level of debt burden for emerging economies, where the marginal impact of external debt on economic growth becomes negative.The results of the study highlighted the significance of the problem of effective public debt management strategy implementation in Ukraine. This issue is predetermined by the appropriate organizational support. The study recommends improving a public external debt management model. In this paper, the authors proposed a new structure with the participation of new element – independent agencies. The unified external debt management system should integrate all state institutions and executive power structures in this area.

The paper argues that it is impossible to resolve the public debt problem within the existing economic policy model without changing the conceptual relationship between monetary and fiscal policy, i.e. without reconfirming the relationship between the policies and without strengthening the fiscal policy role. Otherwise, it is believed, the current model leads to a recession, while public debt problem remains unresolved. The existing model does not question the creation and structure of private debt and its effects on public debt, but the attention is given only to irresponsible fiscal policy. Understanding the public debt determinants is a prerequisite for effective public debt management and for private agents’ positive expectations. In the paper, several managerial implications of the research results are, also, identified and presented.

The article aims at systematizing the theoretical and methodological foundations of using credit default swaps in the external public debt management. Theoretical principles of using credit default swaps in the external public debt management are studied. The advantages and disadvantages of credit default swaps as derivative financial instruments are generalized. It is shown that the main disadvantages of credit default swaps are their speculative character and dependence on international rating agencies, as well as lack of proper regulation in the synthetic securitization of debt-based assets. The mechanism of credit default swap functioning in the risk management system in external state borrowings is conceptualized. The factors influencing the value of the credit default swap in the risk management system in external government borrowing are identified. It is shown that the main factors are the sovereign credit rating, the maturity of debt securities, liquidity and yield of external government bonds, market demand and supply of debt securities and default swaps. The dynamics of the value of credit default swaps on Ukraine’s debt securities is analyzed. The relationship between the swap value and geopolitical factors in the formation of the international investment position of the state is shown. In order to increase the efficiency of credit default swaps in external public debt management and minimize the interest rate risks of external government borrowings, it is suggested to amend norms and regulations, providing for the essence of default swap, the composition of the parties, accounting and value formation peculiarities. [ABSTRACT FROM AUTHOR]

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Copyright of Cadernos de Finanças Públicas is the property of Escola de Administracao Fazendaria and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

By the beginning of the nineteenth century, British public debt, accumulated over the eighteenth century and during the Revolutionary and Napoleonic Wars (1793-1815), had attained extremely high levels, at times even reaching 200% of the gross national product (GNP). This increase in debt paradoxically coexisted with the early progression of the industrial revolution. In this chapter, we explain this concomitance by the effective policies of sovereign debt management put in place by the State and the Bank of England (BoE). First, the State put in place measures to lower its risk of default by funding its debt with tax revenue that would allow it to honour due payments. Second, following the suspension in 1797 of cash payments for pounds sterling, the BoE, in addition to its role in financing the State, followed an active policy of sovereign debt management, promoting both bank liquidity and market liquidity. [ABSTRACT FROM AUTHOR]

The article deals with the current state of the Russian Federation budget deficit and the level of its sources of financing, by means of which it is possible to compensate for it. We discuss several ways to cover the budget deficit, such as raising taxes, devaluation, privatization of state assets, as well as government borrowing on the domestic and foreign markets. As a result, it highlighted the most efficient source of budget deficit, taking into account the socio-political and economic consequences, affecting the country's economic situation.

The paper aims to define and explain the possibilities, effects and limitations of financial borrowing by local authorities in Bosnia and Herzegovina. The methodological approach is based on primary and secondary sources of data, with the aim of collecting as much information as possible about the possibilities and effects of borrowing, in order to get real knowledge about the research problem. This approach is essential in order to unify thoughtful and experienced information in research, but also to explain the research topic with the help of research results. The aim of the paper is to get scientific knowledge about the possibilities and effects of borrowing of local government units in Bosnia and Herzegovina. The paper analyzes: what are public services, public debt, as well as the fiscal capacity of local government units, the local debt system, as well as the management of public debt at the local level, the public investment program - capital investments and asset balances. [ABSTRACT FROM AUTHOR]

The article considers the role of the public external debt of the budget of the Russian Federation. Also attention is paid to the influence of the level of public debt on the financial position of the country. Substantiated proposals to increase the external public debt management in the Russian Federation, resulting in proposed variant of increase of efficiency of public debt management Russia, optimization of the structure and minimize the consequences of its growth.

The objective is to study the relationship between the debt policy and vector of macroeconomic measures which is reflected in the transformation of structure of budget deficiency payments. Also, the article defines and characterizes three main phases of the government debt policy: pre-stabilization, stabilization and post-stabilization. The author analyzes main aspects of the relationship between dept policy and monetary one. Methodology. The study is based on the works of domestic and foreign scientists engaged in research of the given problem. Theoretical concepts are supported by statistical data of key macroeconomic indicators of Ukraine’s economy. Results of the survey showed that the relationship between the debt policy and measures of macro-regulation during the transformation has the stable and permanent nature, and the use of certain instruments of government debt management is exclusively possible for a definite direction of macro policy on the one hand, and they are the elements in the system of measures for its implementation on the other hand. In the pre-stabilization phase of transformation the debt policy synthesizes the expansive solutions of monetary and fiscal authorities, and a direct link between them mediate the expansion of demand in the public sector and the preservation of soft budget constraints for micro-units; in the stabilization phase the relationship between fiscal, monetary and debt policy becomes more indirect, but are direct in that part of the borrowing purposes, subordinated to the creation of macro-stabilization mechanism of transformation; in the poststabilization period the role of indirect interconnection between the debt measures and fiscal and monetary decisions increases, but the lack of a deep micro-restructuring and deep systemic and structural reforms cause the deterioration in the macro-economic state of the system, due to which the vector of government borrowing again gravitates toward the field of formation of the mechanism of stabilization. In the post-stabilization period the following contradictions are especially intensely manifested: firstly, the contradictions between the expansive fiscal policy and relatively restrained monetary policy, which is why the maintenance of the exchange rate and inflation on the equilibrium level takes place with the higher interest rates; secondly, there is an enhancement of contradictions within the system of fiscal policy and monetary policy. The formation of consumer-oriented reproduction proportions of GDP is one of the consequences of such a situation.

In public debt management department, the components of risk such as market risk, credit risk, refinancing risk and liquidity risk are relatively well known; operational risk is however, less well known and an area that has not been given much attention to by government debt managers in developing a risk management framework. This paper highlights the operational risk approaches as applied to public debt department and attempts to present a framework for debt managers to manage operational risks while undertaking public debt management operations. Developing an operational risk management framework can be an evolutionary process as it will take time and effort to not only identify and understand the risks but also the mitigation techniques in an environment that is constantly changing. There is no need to try to do everything perfectly from the outset. This article shows that the operational risk management framework can be developed and applied incrementally as techniques improve and staff begin to understand the risks and mitigation technique of public debt management. [ABSTRACT FROM AUTHOR]

This study examines the existence of tax smoothing in the case of Turkey using data for the time period between 1923 and 2011. Unit root tests, auto-regression and vector auto-regression (VAR) models are applied to tax rates, government expenditures and real output data. Unit root tests and auto-regression results initially point out the existence of tax smoothing in Turkey. However, further in-depth analyses by means of the vector auto-regression model provide strong evidence against the tax smoothing hypothesis for the Turkish case as contemporary tax rates can be predicted with using lagged values of tax rates and government spending rates.

The aim of this paper is to study the effects of public debt management on yield curve spreads in Brazil, in order to see possible impacts on the country's economic activity. State space models, together with Kalman Filter estimators, are used for the period ranging from June 2002 to February 2012. The results indicate that increases in the issuance of fixed rate linked bonds lead to increases on yield spreads and the longer the maturity, the longer the effect. The opposite occurs when there is an increased issuance of floating rate linked bonds. Therefore, a change in the structure of the Brazilian public debt is not neutral on the yield curve, with possible impacts on the country's macroeconomic balance.

This paper is a contribution to the analysis concerning fiscal insurance and public debt management. We built fiscal indicators and present empirical evidence for the effect of the public debt management on the fiscal insurance based on the Brazilian economy. The analysis is based on two steps: the first builds fiscal indicators and analyzes their performance over time, and the second presents regressions of the main variables regarding public debt management on the fiscal insurance indicators. The findings denote that there was a reduction in the fiscal vulnerability, but the public debt management was not effective in increasing fiscal insurance.

We appreciate that a developing country cannot build a solid democracy, based on a competitive economy and a system of social and economic infrastructure upgraded, rather than calling on foreign funding, generating external debt. At the basis of capitalist economies development credit is widely used at macro-economic level. Its role is to provide the opportunity to spend now and pay in a period to come, when the investment start to bring profit. For Romania, as well, for any State that resort to foreign loans, it is important that they be used for the development and modernization of the economy and infrastructure services and consumption, not only because it creates the potential for achieving sustainable growth, including by stimulating exports, creating the necessary resources as public foreign debt service to be honored.

This paper presents a simulation of alternative strategies for public debt issuance in Zimbabwe. The analysis is undertaken with a view to find a strategy that minimises the cost and risk of public debt under different scenarios of interest and exchange rate developments. The premise is that increases in debt service charges due to risky allocation of public debt can substantially change public debt dynamics. The risky allocation can derive from an excessive exposure of the government to exchange rate, interest rate and commodity price shocks. The results show a trade-off between a debt strategy that largely depends on more external concessional borrowing and a debt strategy aimed at increasing the share of domestic debt in the public debt portfolio for market development purposes. While the strategy that maximises recourse to external concessional borrowing was found to be desirable from a cost perspective, it proved to be less desirable from a risk perspective after taking into consideration the exchange rate effect. Moreover the conditions attached by international financial institutions and other official creditors to accessing concessional loans makes the strategy less desirable. The results, therefore, underscore the need for authorities to ensure a neat balance between external and domestic debt borrowing to ensure long-term public debt sustainability. [ABSTRACT FROM AUTHOR]