Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis
This debt sustainability analysis (DSA) concludes that Afghanistan’s external and overall risk of debt distress continues to be assessed as high. Afghanistan’s debt sustainability hinges on continued donor grants inflows (currently around 40 percen...
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| Format: | Report |
| Language: | English |
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World Bank, Washington, DC
2019
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| Online Access: | http://documents.worldbank.org/curated/en/788961570787729775/Afghanistan-Joint-World-Bank-IMF-Debt-Sustainability-Analysis-December-2018 http://hdl.handle.net/10986/32571 |
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okr-10986-325712021-05-25T09:28:43Z Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis World Bank International Monetary Fund DEBT DISTRESS PUBLIC SECTOR DEBT DEBT SERVICE BURDEN CONTINGENT LIABILITY PUBLIC AND PUBLICLY GUARANTEED DEBT EXTERNAL DEBT SUSTAINABILITY ANALYSIS RISK ASSESSMENT MACROECONOMIC MANAGEMENT This debt sustainability analysis (DSA) concludes that Afghanistan’s external and overall risk of debt distress continues to be assessed as high. Afghanistan’s debt sustainability hinges on continued donor grants inflows (currently around 40 percent of GDP) against substantial fiscal and external deficits and downside risks to the economic outlook. A gradual replacement of grants by debt financing leads to high risk of debt distress in the long run and is captured by mechanical risk ratings based on an extended 20-year period rather than the standard 10-year period. Significant downside risks include the fragile security situation, political uncertainty, domestic revenue shortfalls, weather related risks, and regional economic instability. The authorities should continue their efforts to mobilize revenue and implement reforms, while donors should continue to provide financing in the form of grants. Debt management capacity, including the monitoring of contingent liabilities emanating from state-owned entities and public-private partnerships (PPPs), should be strengthened. 2019-10-17T19:36:39Z 2019-10-17T19:36:39Z 2018-12 Report http://documents.worldbank.org/curated/en/788961570787729775/Afghanistan-Joint-World-Bank-IMF-Debt-Sustainability-Analysis-December-2018 http://hdl.handle.net/10986/32571 English CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work Economic & Sector Work :: Debt and Creditworthiness Study South Asia Afghanistan |
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Digital Repository |
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Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
DEBT DISTRESS PUBLIC SECTOR DEBT DEBT SERVICE BURDEN CONTINGENT LIABILITY PUBLIC AND PUBLICLY GUARANTEED DEBT EXTERNAL DEBT SUSTAINABILITY ANALYSIS RISK ASSESSMENT MACROECONOMIC MANAGEMENT |
| spellingShingle |
DEBT DISTRESS PUBLIC SECTOR DEBT DEBT SERVICE BURDEN CONTINGENT LIABILITY PUBLIC AND PUBLICLY GUARANTEED DEBT EXTERNAL DEBT SUSTAINABILITY ANALYSIS RISK ASSESSMENT MACROECONOMIC MANAGEMENT World Bank International Monetary Fund Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis |
| geographic_facet |
South Asia Afghanistan |
| description |
This debt sustainability analysis (DSA)
concludes that Afghanistan’s external and overall risk of
debt distress continues to be assessed as high.
Afghanistan’s debt sustainability hinges on continued donor
grants inflows (currently around 40 percent of GDP) against
substantial fiscal and external deficits and downside risks
to the economic outlook. A gradual replacement of grants by
debt financing leads to high risk of debt distress in the
long run and is captured by mechanical risk ratings based on
an extended 20-year period rather than the standard 10-year
period. Significant downside risks include the fragile
security situation, political uncertainty, domestic revenue
shortfalls, weather related risks, and regional economic
instability. The authorities should continue their efforts
to mobilize revenue and implement reforms, while donors
should continue to provide financing in the form of grants.
Debt management capacity, including the monitoring of
contingent liabilities emanating from state-owned entities
and public-private partnerships (PPPs), should be strengthened. |
| format |
Report |
| author |
World Bank International Monetary Fund |
| author_facet |
World Bank International Monetary Fund |
| author_sort |
World Bank |
| title |
Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis |
| title_short |
Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis |
| title_full |
Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis |
| title_fullStr |
Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis |
| title_full_unstemmed |
Islamic Republic of Afghanistan - Joint World Bank-IMF Debt Sustainability Analysis |
| title_sort |
islamic republic of afghanistan - joint world bank-imf debt sustainability analysis |
| publisher |
World Bank, Washington, DC |
| publishDate |
2019 |
| url |
http://documents.worldbank.org/curated/en/788961570787729775/Afghanistan-Joint-World-Bank-IMF-Debt-Sustainability-Analysis-December-2018 http://hdl.handle.net/10986/32571 |
| _version_ |
1764476821827485696 |