Governments at risk are facing major fiscal challenges as a result of their contingent liabilities. Contingent liabilities dubbed 'hidden deficits' account for a large share of the rise in government debt and tend to remain outside the framework of conventional public financial analysis and institutions. In many countries, the reality or prospect of unbudgeted fiscal risks coming due has been a wake-up call to extend fiscal management beyond the budgetary framework. This book offers practical guidance to governments seeking to improve the management of fiscal risks. It explores difficult...

Properly used tax expenditures can play an important role in implementing countries' economic and social policies. But they often go unnoticed because they take many forms of revenue forgone, from tax exemptions to tax credits. Without subjecting tax expenditures to the same scrutiny most countries apply to the spending sides of their budgets it is impossible to know the cost and efficiency of tax expenditures or whether they might be better allocated. 'Tax Expenditure Shedding Light on Government Spending Through the Tax System' discusses conceptual and methodological issues relating to tax...

Public-private partnerships (PPPs) are popular around the world, in part because they allow governments to secure much-needed investment in public services without immediately having to raise taxes or borrow. Yet, PPPs pose a fiscal danger because a government's desire to avoid reporting immediate liabilities may blind it to future fiscal cost and risks. Although PPPs may not blemish governments' reported fiscal statements in the short term, they do create fiscal obligations. This increases fiscal vulnerability and can result in poorly-designed PPPs. The extent of the danger depends on the...