Ninth UNCTAD Debt Management Conference
Geneva, 11 - 13 November 2013
The Debt Manager and Transparency:
Responses from International Organizations
by
Sudarshan Gooptu
Sector Manager
Economic Policy and Debt Department
World Bank
The views expressed are those of the author and do not necessarily reflect the views of UNCTAD
The Debt Manager and
Transparency
Responses from International Organizations
Sudarshan Gooptu
Sector Manager, Economic Policy & Debt Unit
World Bank
Presentation at the 9th UNCTAD Debt Management
Conference, Geneva, November 11-13, 2013
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
Opening up Public Debt Statistics:
Why is it important ?
Parliament (National
Assembly/Congress)
Accountability
Supreme
Audit Inst
Delegation
Minister / Government
Strategy Setting and
Operational
Delegation
Strategy Proposals,
Consultation and
Reporting
Central
Bank
Powers
Debt Management Unit
Reporting and
Oversight
Operations and Coordination
Chart Adapted from: World Bank Debt Management Performance Acceptance Tool
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
It also helps to…
• Raise awareness of policy makers of
potential consequences of expansionary
fiscal policies that may not be supported
by economic growth
• Help to raise public awareness of expected
benefits from public borrowing and
associated risks (incl. financial and fiscal)
• Enhance accountability and improves
monitoring of the public investments
funded through the government borrowing
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
Existing tools for promoting
transparency of Public debt data
• WB/IMF Guidelines for Public Debt
Management, 2001
• IMF Government Finance Statistics
manual, 2001
• The General Data Dissemination
Standard(GDDS) and Special Data
Dissemination Standard (SDDS), 19961997
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
World Bank Instruments
• WB Open Data Initiative, including
higher quality of debt statistics.
• Debt Management Facility (DMF) Multidonor TF for low income countries
- to strengthen capacity and promote
greater transparency of the debt
management operations (at national and
subnational levels).
• Statistical Capacity Building (STATCAP)
and Public Finance Management (PFM)
Reform Projects.
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
World Bank Tools
The Debt Management Performance
Assessment (DeMPA)
Evaluates strength and weaknesses in 15
core areas of government debt
management, including:
- Annual report on debt management
activities to Parliament or Congress
- External and internal audit of debt
management performances
- Publication of the statistical information in
the public domain
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
Country Coverage of the DeMPAs
74 DeMPAs (first and second) conducted
between 2007-12:
40
35
34
Breakdown of DeMPAs
by Geographical Region
30
 59 different countries over25
6 regions
20
15
10
6
 15 countries had benefited5
from a second DeMPA
6
6
5
2
0
AFR
EAP
LAC
Economic Policy, Debt7nd Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
SAR
ECA
MNA
Country Coverage of the DeMPAs
The 59 countries exhibit different economic characteristics:
30
Breakdown of
DeMPAs by Income
Level
26
25
Breakdown of DeMPAs
by Exchange Rate
Regime
60
40
25
40
19
20
20
0
15
Float
10
7
5
Breakdown of DeMPAs
by HIPC Status
1
35
0
Low-inc.
Lower
mid.-inc.
Upper High inc.
mid.-inc.
Other
32
30
27
25
20
HIPCs
Economic Policy, Debt8nd Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
Non-HIPCs
Results from Overall Scores
Based on the latest DeMPAs:
 Across all areas of assessment, 55% of the scores are rated below the
minimum requirement (scored D);
 These results are relatively homogeneous (except for Europe & Central Asian
countries where DeMPAs were undertaken)
Breakdown of Scores
(using the results of the latest
DeMPAs performed)
60%
55%
Breakdown of Scores by Geographical
Region (using the results of the latest
DeMPAs performed)
80%
A
60%
40%
20%
20%
8%
B
40%
12%
C
20%
D
5%
N/R
0%
0%
A
B
C
D
N/R
AFR
EAP
ECA
LAC
MNA
Scores A, B, C - requirements are met. Score D - below the minimum requirement
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
SAR
Performance in dimensions
capturing transparency
4.0%
3.5%
3.0%
3.5%
Distribution of scores C and higher among
all the dimensions and across the 59
countries (in percent)
2.5%
2.0%
1.5%
1.0%
0.5%
1.0%
1.0%
5.1
15.3
0.0%
4
4
Level of disclosure of government DeM activities
5.1 Frequency of internal and external audits of central government DeM activities
15.3 Quality and timeliness of the publication of a debt statistical bulletin covering
central government debt
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
The World Bank’s New Initiatives
for Enhancing Data Transparency
• Global Partnership for a Data Revolution
• Revision of the IMF/WB Guidelines for
Public Debt Management
• Second phase of the Debt Management
Facility TF (jointly with IMF) (2014-2018)
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network
Thank You!
Economic Policy, Debt and Trade (PRMET) Department
Poverty Reduction and Economic Management (PREM) Network