THE PROBLEM

Fiscal transparency means the publication of information on how governments raise, spend, and manage public resources.

Without fiscal transparency it can be difficult for policymakers and the public to have a well-informed and balanced debate about the plans and outcomes of public policy, and there is no accountability in place for implementation. Fiscal transparency can help to highlight risks, enabling an earlier and smoother response to changing economic conditions and reducing the severity of any unexpected crises.

Fiscal transparency can also play a role in how financial markets view a country’s fiscal track record, providing a sense of fiscal credibility for that country. The loss of market confidence in governments with underestimated or hidden deficits in the wake of the recent global economic crisis underscored the importance of fiscal transparency to global financial and economic stability.

WHAT HAPPENED AT THE SUMMIT?

At the Anti-Corruption Summit the UK committed to undertake an IMF Fiscal Transparency Evaluation.

The evaluation was completed in November 2016, and is available here.