How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management
This paper summarizes and discusses the results of a survey on country practices in the management of sovereign assets and liabilities. Twenty-eight countries, mostly high-income economies, responded to the questionnaire. The survey responses provi...
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World Bank, Washington, DC
2018
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| Online Access: | http://documents.worldbank.org/curated/en/818281540481513145/How-Do-Countries-Use-an-Asset-and-Liability-Management-Approach-A-Survey-on-Sovereign-Balance-Sheet-Management http://hdl.handle.net/10986/30644 |
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okr-10986-306442022-09-19T00:15:58Z How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management Cangoz, M. Coskun Boitreaud, Sebastien Dychala, Christopher ASSET MANAGEMENT ASSET AND LIABILITY MANAGEMENT PUBLIC DEBT SOVEREIGN DEBT MANAGEMENT BALANCE SHEET SOVEREIGN ASSETS SOVEREIGN LIABILITIES PUBLIC FINANCIAL MANAGEMENT ACCOUNTING STATE-OWNED ENTERPRISES INTERNATIONAL RESERVES This paper summarizes and discusses the results of a survey on country practices in the management of sovereign assets and liabilities. Twenty-eight countries, mostly high-income economies, responded to the questionnaire. The survey responses provide detailed information about various approaches to the sovereign asset and liability management framework in terms of balance sheet production as well as objectives, priority areas, and challenges associated with integrated management. In addition to the survey results, where possible and relevant, this paper provides insight through prominent country examples. The survey results confirm that the number of countries that have developed such a framework is limited. Although most of the respondents indicated that they regularly produce an accounting balance sheet, the objective of this exercise is often limited to monitoring sovereign assets and liabilities rather than determining mismatches between them. In the cases where a sovereign asset and liability management framework is implemented, there are significant differences across countries. Most countries include state-owned enterprises in the sovereign balance sheet, but only a minority also considers central banks, in some cases only international reserves and sovereign funds. The challenges cited include institutional arrangements, uncertain or lacking mandate, coordination between institutions, data availability, and valuation of assets. Most of these challenges are related to the implementation of the approach. The development of sound practices for sovereign asset and liability management could benefit governments and facilitate the implementation of a holistic approach to manage their balance sheets and related risks, increasing their resilience to shocks. 2018-11-01T17:32:02Z 2018-11-01T17:32:02Z 2018-10 Working Paper http://documents.worldbank.org/curated/en/818281540481513145/How-Do-Countries-Use-an-Asset-and-Liability-Management-Approach-A-Survey-on-Sovereign-Balance-Sheet-Management http://hdl.handle.net/10986/30644 English Policy Research Working Paper;No. 8624 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ASSET MANAGEMENT ASSET AND LIABILITY MANAGEMENT PUBLIC DEBT SOVEREIGN DEBT MANAGEMENT BALANCE SHEET SOVEREIGN ASSETS SOVEREIGN LIABILITIES PUBLIC FINANCIAL MANAGEMENT ACCOUNTING STATE-OWNED ENTERPRISES INTERNATIONAL RESERVES |
| spellingShingle |
ASSET MANAGEMENT ASSET AND LIABILITY MANAGEMENT PUBLIC DEBT SOVEREIGN DEBT MANAGEMENT BALANCE SHEET SOVEREIGN ASSETS SOVEREIGN LIABILITIES PUBLIC FINANCIAL MANAGEMENT ACCOUNTING STATE-OWNED ENTERPRISES INTERNATIONAL RESERVES Cangoz, M. Coskun Boitreaud, Sebastien Dychala, Christopher How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management |
| relation |
Policy Research Working Paper;No. 8624 |
| description |
This paper summarizes and discusses the
results of a survey on country practices in the management
of sovereign assets and liabilities. Twenty-eight countries,
mostly high-income economies, responded to the
questionnaire. The survey responses provide detailed
information about various approaches to the sovereign asset
and liability management framework in terms of balance sheet
production as well as objectives, priority areas, and
challenges associated with integrated management. In
addition to the survey results, where possible and relevant,
this paper provides insight through prominent country
examples. The survey results confirm that the number of
countries that have developed such a framework is limited.
Although most of the respondents indicated that they
regularly produce an accounting balance sheet, the objective
of this exercise is often limited to monitoring sovereign
assets and liabilities rather than determining mismatches
between them. In the cases where a sovereign asset and
liability management framework is implemented, there are
significant differences across countries. Most countries
include state-owned enterprises in the sovereign balance
sheet, but only a minority also considers central banks, in
some cases only international reserves and sovereign funds.
The challenges cited include institutional arrangements,
uncertain or lacking mandate, coordination between
institutions, data availability, and valuation of assets.
Most of these challenges are related to the implementation
of the approach. The development of sound practices for
sovereign asset and liability management could benefit
governments and facilitate the implementation of a holistic
approach to manage their balance sheets and related risks,
increasing their resilience to shocks. |
| format |
Working Paper |
| author |
Cangoz, M. Coskun Boitreaud, Sebastien Dychala, Christopher |
| author_facet |
Cangoz, M. Coskun Boitreaud, Sebastien Dychala, Christopher |
| author_sort |
Cangoz, M. Coskun |
| title |
How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management |
| title_short |
How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management |
| title_full |
How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management |
| title_fullStr |
How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management |
| title_full_unstemmed |
How Do Countries Use an Asset and Liability Management Approach? A Survey on Sovereign Balance Sheet Management |
| title_sort |
how do countries use an asset and liability management approach? a survey on sovereign balance sheet management |
| publisher |
World Bank, Washington, DC |
| publishDate |
2018 |
| url |
http://documents.worldbank.org/curated/en/818281540481513145/How-Do-Countries-Use-an-Asset-and-Liability-Management-Approach-A-Survey-on-Sovereign-Balance-Sheet-Management http://hdl.handle.net/10986/30644 |
| _version_ |
1764472517348556800 |