Debt Sustainability in Low-Income Countries - Further Considerations on an Operational Framework and Policy Implications

Debt Sustainability in Low-Income Countries - Further Considerations on an Operational Framework and Policy Implications

Author: World Bank

Publisher: International Monetary Fund

Published: 2004-10-09

Total Pages: 58

ISBN-13: 1498330088

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This paper seeks to address queries on several operational issues: (i) the robustness of the indicative thresholds; (ii) modalities for implementing DSAs; and (iii) operational implications for the Fund, Bank, and other international financial institutions and creditors.


Operational Framework for Debt Sustainability Assessments in Low-Income Countries - Further Considerations

Operational Framework for Debt Sustainability Assessments in Low-Income Countries - Further Considerations

Author: International Monetary Fund

Publisher: International Monetary Fund

Published: 2005-03-28

Total Pages: 19

ISBN-13: 1498331688

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Building on initial discussions of the proposed framework in February/March 2004, and further considerations in September 2004, this paper responds to remaining concerns that need to be resolved to make the framework operational. These concerns relate to the indicative debt-burden thresholds (Section II); the interaction of the framework with the HIPC Initiative (Section III); and the modalities for Bank-Fund collaboration in deriving a common assessment of sustainability (Section IV). This note should be read in conjunction with the original proposal, which presented the wider issues on the use of the indicative thresholds, the evaluation of policies and institutions, and the need for discretion when assessing sustainability on a forward-looking basis.


Staff Guidance Note on the Application of the Joint Bank-Fund Debt Sustainability Framework for Low-Income Countries

Staff Guidance Note on the Application of the Joint Bank-Fund Debt Sustainability Framework for Low-Income Countries

Author: World Bank

Publisher: International Monetary Fund

Published: 2013-05-10

Total Pages: 61

ISBN-13: 1498341179

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Low-income countries (LICs) face significant challenges in meeting their development objectives while at the same time ensuring that their external debt remains sustainable. In April 2005, the Executive Boards of the International Monetary Fund (IMF) and the International Development Association (IDA) endorsed the Debt Sustainability Framework (DSF), a tool developed jointly by IMF and World Bank staff to conduct public and external debt sustainability analysis in low-income countries. The DSF aims to help guide the borrowing decisions of LICs, provide guidance for creditors’ lending and grant allocation decisions, and improve World Bank and IMF assessments and policy advice.


Guidance Note on the Bank-Fund Debt Sustainability Framework for Low Income Countries

Guidance Note on the Bank-Fund Debt Sustainability Framework for Low Income Countries

Author: International Monetary Fund. Strategy, Policy, & Review Department

Publisher: International Monetary Fund

Published: 2018-02-14

Total Pages: 72

ISBN-13: 1498307264

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Low-income countries (LICs) face significant challenges in meeting their Sustainable Development Goals (SDGs) while at the same time ensuring that their external debt remains sustainable. In April 2005, the Executive Boards of the International Monetary Fund (IMF) and the International Development Association (IDA) approved the introduction of the Debt Sustainability Framework (DSF), a tool developed jointly by IMF and World Bank staff to conduct public and external debt sustainability analysis in low-income countries. The DSF has since been serving to help guide the borrowing decisions of LICs, provide guidance for creditors’ lending and grant allocation decisions, and improve World Bank and IMF assessments and policy advice. The latest review of the framework was approved by the Executive Boards in September 2017. This introduced reforms to ensure that the DSF remains appropriate for the rapidly changing financing landscape facing LICs and to further improve insights into debt vulnerabilities. This note provides operational and technical guidance on the implementation of the reformed framework.


Review of Low-Income Country Debt Sustainability Framework and Implications of the Multilateral Debt Relief Initiative (MDRI)

Review of Low-Income Country Debt Sustainability Framework and Implications of the Multilateral Debt Relief Initiative (MDRI)

Author: International Monetary Fund

Publisher: International Monetary Fund

Published: 2006-03-24

Total Pages: 36

ISBN-13: 149833282X

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This paper reviews the experience with the joint IMF-World Bank Debt Sustainability Framework for low-income countries, including cooperation between the staffs, and highlights the implications of the Multilateral Debt Relief Initiative.


Applying the Debt Sustainability Framework for Low-Income Countries Post Debt Relief

Applying the Debt Sustainability Framework for Low-Income Countries Post Debt Relief

Author: World Bank

Publisher: International Monetary Fund

Published: 2006-06-11

Total Pages: 64

ISBN-13: 1498332064

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In April 2006, the Executive Boards of the Bank and the Fund reviewed the debt sustainability framework (DSF) for low-income countries and the implications of the multilateral debt relief initiative. Directors thought that the DSF was broadly appropriate and that no major changes were warranted, but saw scope for additional guidance on the application of the framework in a context where the apparent borrowing space created by debt relief raises new challenges in terms of policy advice. Most Directors supported a case-by-case approach for assessing the appropriate pace of debt accumulation in countries with debt below the DSF thresholds, but requested the development of specific recommendations on the implementation of such a case-by-case approach.


A Review of Some Aspects of the Low-Income Country Debt Sustainability Framework

A Review of Some Aspects of the Low-Income Country Debt Sustainability Framework

Author: International Monetary Fund

Publisher: International Monetary Fund

Published: 2009-05-08

Total Pages: 48

ISBN-13: 1498335713

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The Bank-Fund Debt Sustainability Framework (DSF) is a standardized framework for analyzing debt-related vulnerabilities in low-income countries (LICs). It aims to help countries monitor their debt burden and take early preventive action, to provide guidance to creditors in ensuring their lending decisions are consistent with countries’ development goals, and to improve the Bank and Fund’s assessments and policy advice. The DSF was last reviewed in 2006, and a reconsideration of some aspects of the framework is timely.