The Level and Composition of Public Sector Debt in Emerging Market Crises

Author/Editor:

Bjoern Rother ; Ivetta Hakobyan ; Monica B de Bolle

Publication Date:

August 1, 2006

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

The paper examines the evolution of public sector debt levels and structures in 12 emerging market countries around the time of financial crises. In particular, it focuses on whether the debt situation of sovereign borrowers became more vulnerable in the aftermath of crises. The principal findings are that (i) debt levels tend to increase significantly post-crisis, and (ii) countries often experience more rigid debt structures following such events, with an increase in the share of external public debt to multilateral creditors and a greater exposure of the domestic banking system to sovereign debt.

Series:

Working Paper No. 2006/186

Subject:

Domestic debt External debt Financial crises Public and publicly-guaranteed external debt Public debt

English

Publication Date:

August 1, 2006

ISBN/ISSN:

9781451864465/1018-5941

Stock No:

WPIEA2006186

Pages:

35

Please address any questions about this title to publications@imf.org