Improving the currency composition of external debt

applications to Indonesia and Turkey by Ken Kroner

Publisher: International Economics Dept., World Bank in Washington, DC

Written in English
Published: Pages: 47 Downloads: 99
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Places:

  • Indonesia,
  • Turkey

Subjects:

  • Debts, External -- Indonesia -- Econometric models.,
  • Debts, External -- Turkey -- Econometric models.,
  • Foreign exchange -- Indonesia -- Econometric models.,
  • Foreign exchange -- Turkey -- Econometric models.

Edition Notes

Statementby Ken Kroner and Stijn Claessens.
SeriesPolicy, planning, and research working papers ;, WPS 150
ContributionsClaessens, Stijn.
Classifications
LC ClassificationsHJ8798 .K76 1989
The Physical Object
Pagination47 p. :
Number of Pages47
ID Numbers
Open LibraryOL2246541M
LC Control Number89121122

The tables also include key debt ratios and the composition of external debt stocks and flows for each country. Data are shown for all developing countries, six regional groups (East Asia and Pacific, Europe and Central Asia, Latin America and Caribbean, Middle East and North Africa, South Asia, and Sub-Saharan Africa), and two income groups.   Foreign exchange reserves are held and managed by the RBI. Some countries use external managers to handle their reserves. The composition of the reserves is not disclosed to the public. However, the foreign currency assets are invested mainly in instruments abroad which have the highest credit rating and which do not pose any credit risk. External Debt in Turkey decreased to USD Million in the first quarter of from USD Million in the fourth quarter of External Debt in Turkey averaged USD Million from until , reaching an all time high of USD Million in the first quarter of and a record low of USD Million in the fourth quarter of External Debt in South Africa decreased to USD Million in the first quarter of from USD Million in the fourth quarter of External Debt in South Africa averaged USD Million from until , reaching an all time high of USD Million in the fourth quarter of and a record low of USD Million in the first quarter of

It also includes tables of key debt ratios for individual reporting countries and the composition of external debt stocks and flows for individual reporting countries and regional and income groups along with some graphical presentations. IDS draws on a database maintained by the World Bank External Debt (WBXD) system. iv International Debt Statistics T his year’s edition of International Debt Statistics, successor to Global Development Finance and World Debt Tables, is designed to respond to user demand for timely, comprehensive data on trends in external debt in low- and middle-income coun-. The legal backing for monetary policy by the Bank derives from the various statutes of the bank such as the CBN Act of as amended in CBN Decree No. 24 of , CBN Decree Amendments ,No. 3 of ,No. 4 of ,No. 37 of ,No. 38 of , and CBN Act of Section 12 Sub-sections (1) to (5), CBN Act of (Ammended). Public debt in foreign currency now accounts for about 64 percent of total public debt. Rising U.S. interest rates and the appreciation of the U.S. dollar could destabilize Jamaica’s external debt burden and increase upward pressure on domestic interest rates, although the majority of external debt .

The turmoil that has rocked Asian foreign exchange and equity markets over the past eight months is the third major currency crisis of the s. Its predecessors were the crisis in the European Monetary System in , and the Mexican peso crisis of Evolution of the external debt stock External Debt Stock Composition by Creditor BILATERAL 4% MULTILATERAL 20% EXPORT CREDITS 23% SUPPLIERS' CREDIT 1% Composition by Interest Rate Type Composition by Currency. Domestic Debt, 20, 30, 40, 50, 60, –Key reforms for improving revenue collection have. The Annual Public Debt Report for the Financial Year Submitted to Parliament on Friday, 29th March, by Ken Ofori-Atta Minister for Finance In Fulfilment of the Requirements of Section 72 of the. From to , the net debt of the consolidated public sector rose from 28% to 56% of GDP, leading to growing concerns about the sustainability of fiscal policy. This, along with high inflation and macroeconomic instability, forced the government to make frequent adjustments to the currency and maturity composition of its marketable debt.

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Improving the currency composition of external debt: applications in Indonesia and Turkey Article (PDF Available) March with 76 Reads How we measure 'reads'.

Debt and Intemational Finance Intemationa. Economics Department The World Bank January WPS Improving the Currency Composition of External Debt: Applications in Indonesia and Turkey Ken Kroner and Stijn Claessens The debt service ratio of many developing countries shot up when the dollar fell.

The paper shows how developing countries. Improving Statistical Capacity; International Comparison Program & Purchasing Power Parity; International Household Survey Network (IHSN) Joint External Debt Hub; Open Data Toolkit; Quarterly External Debt Statistics; Trust Fund for Statistical Capacity Building; Products.

World Development Indicators; International Debt Statistics; Other Books. Improving the currency composition of external debt: applications in Indonesia and Turkey Changes in exchange rates affect both the level and the structure of a country's external debt.

Improving the currency composition of external debt: applications in Indonesia and Turkey. By Ken Kroner and Stijn Claessens. Get PDF (1 MB) Abstract. Changes in exchange rates affect both the level and the structure of a country's external debt.

Indonesia's debt service increased from 10 percent in to 37 percent inlargely because Author: Ken Kroner and Stijn Claessens.

4 WP External debt composition and domestic credit cycles Our findings attribute a less prominent role to the currency distribution and the maturity composition of external debt in shaping the dynamics of credit cycles in borrowing countries.

Nevertheless, there are some (data-related) caveats associated with these results. Foreign Currency Composition of External Debt and International Reserves.

Image. Source: Cangoz, Sulla, Wang, (), a joint risk management approach, supported by a well-organized governance structure, can improve risk management across sovereign balance sheet and increase national wealth.

of IDS cover external debt stocks and flows, major economic aggregates, key debt ratios, and currency composition of long-term debt. The text also includes such information as country notes, definitions, and data source for each table. An expanded version of the tables available online features longer time series and.

public and publicly guaranteed external debt to the World Bank’s Debtor Reporting System (DRS). The tables also include key debt ratios and the composition of external debt stocks and flows for each country.

Each table shows a time series with the most recent six years, as well as and as com-panion years. A group of international agencies working together under the auspices of the Inter-Agency Task Force on Finance Statistics (TFFS) has produced the draft External Debt Statistics - Guide for Compilers and Users.

The purpose of the Guide is to provide comprehensive guidance for the measurement and presentation of external debt statistics; it can be considered an update of the External Debt. In preparing currency composition of the IIP for Turkey, all asset and liability items are taken into account regardless of their debt creating natures such as in the form of equity under direct investment and portfolio investment.

Furthermore, asset and liability items are broken down into two groups. International Debt Statistics (IDS)—formerly known as Global Development Finance (GDF)—provides external debt and financial flows statistics for countries that report public and publicly-guaranteed debt under the World Bank's Debtor Reporting System (DRS).

1, billion, whereas, external debt posed at Rs. 5, billion representing a decrease of Rs. compared to end June The external debt declined despite net external inflows which is mainly attributed to huge 3 billion on account of appreciation of US Dollar against other major currencies.

The trend in public debt. currency composition of external debt, (2) debt-service payment schedule for outstanding external debt and (3) remaining short term maturity of external debt (new table), mostly aimed to assessing liquidity risks. A range of 12 to 32 economies have reported the encouraged tables for Q1 data.

The new SDDS/QEDS database features additional. Foreign exchange reserves (also called forex reserves or FX reserves) are cash and other reserve assets held by a central bank or other monetary authority that are primarily available to balance payments of the country, influence the foreign exchange rate of its currency, and to maintain confidence in financial markets.

Reserves are held in one or more reserve currencies, nowadays mostly the. Among the onesy disclosing currency composition of international reserves and external debt portfolio, the sample countries were selected based on three main criteria, including ad regional representation;bro issuance of foreign currency debt; and minimum reserves benchmark of three months of imports and shortterm foreign currency- debt service.

The rise in external debt stocks outpaced economic growth in many Sub-Saharan African countries over the past decade. The combined ratio of external debt-to-GNI averaged 36% at enda marginal change from the prior year, but over 40% higher than To access the Debt Report and related products: Download the full report.

external debt burdens in Mozambique and Tajikistan. In Uganda, external debt as a share of GDP has more than doubled sinceto more than 40 percent of GDP in The maturity composition of LIC external debt has remained broadly stable—short-term debt remained moderate at 5 percent of total external debt in   The currency composition of India’s total external debt shows US dollar-denominated debt accounted for per cent as of December end, down from per cent at the end of December On the other hand, the euro contributed only.

The Little Book on External Debt. covers external debt stocks and flows, major economic aggregates, key debt ratios, and the currency composition of long-term debt for all countries reporting through the Debtor Reporting System. Definitions of the terms used in the tables are found in the.

Glossary. External Debt - Total Public Debt - (In percent of Total Debt) Domestic Debt External Debt Memo: Foreign Currency Debt (US$ in. External debt stock 12 Major economic aggregate 16 Net debt inflows 16 refined to improve the user experience.

The online edition of International Debt Statistics now CURRENCY COMPOSITION OF PUBLIC AND PUBLICLY GUARANTEED DEBT (%) Euro   As a follow-up to the December CPIA mission to discuss the World Bank's technical assistance on improving the CPIA ratings, a mission led by Mr.

Ian Storkey, World Bank Consultant, was undertaken to focus on external debt management. Staff guidance note on the application of the joint bank-fund debt sustainability framework for low-income countries (English) Abstract. The debt sustainability framework (DSF) was introduced in and has been reviewed on three occasions:, and In Uganda, external debt as a share of GDP has more than doubled sinceto more than 40 percent of GDP in The maturity composition of LIC external debt has remained broadly stable—short-term debt remained moderate at 5 percent of total external debt in.

That honor goes to Turkey’s firms, who have almost $ billion in foreign currency denominated debt ($ billion is owed to domestic creditors, and $ to external.

G NOTE: IMPROVING PUBLIC DEBT RECORDING, MONITORING, AND EDS External Debt Statistics EME Emerging Market Economy • An accurate breakdown of the outstanding debt by various characteristics, including currency composition, creditor category and residency, concessionality, and instrument composition (including by interest rate.

Improving Hungary’s debt profile specifically, the Hungarian state have substantial external and foreign currency debt. The recent. 2 benefit for the state is the improvement in the foreign currency composition of government debt, falling exchange rate sensitivity and forint exchange rate volatility are less reflected in.

We use external debt and debt in foreign currency as well as domestic debt and debt in local currency interchangeably. For a model in which less disciplined countries in terms of monetary policy tend to have less access to local currency debt due to the risk of currency debasement that inflates away the debt, see Engel and Park ().

country. Hence, only external debt generates a “transfer” problem (Keynes, ). Second, since central banks in developing countries cannot print the hard currency necessary to repay external debt, external borrowing is usually associated with vulnerabilities that may lead to debt crises.

In this paper. External debt—also called "foreign" or "sovereign debt"—is the total capital that is owed to creditors outside of a country's border. The debtors can be governments, corporations and private citizens; the creditors include governments, commercial banks and international financial institutions such as the International Monetary Fund and the World Bank.

The second aspect that has received widespread attention is the currency composition of government bonds. For some countries, especially emerging markets, foreign currency debt can be less expensive (or at least appear to be so) than domestic currency debt, prompting governments to borrow in foreign currency.

But foreign.External Debt from The World Bank: Data. Learn how the World Bank Group is helping countries with COVID (coronavirus).