Public Debt Management in Emerging Market Economies : Has This Time Been Different?

Anderson, Phillip R. D.; Silva, Anderson Caputo; Velandia-Rubiano, Antonio

dc.creator	Anderson, Phillip R. D.
dc.creator	Silva, Anderson Caputo
dc.creator	Velandia-Rubiano, Antonio
dc.date	2012-03-19T18:41:31Z
dc.date	2012-03-19T18:41:31Z
dc.date	2010-08-01
dc.date.accessioned	2023-02-17T21:05:16Z
dc.date.available	2023-02-17T21:05:16Z
dc.identifier	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20100813134031
dc.identifier	http://hdl.handle.net/10986/3883
dc.identifier.uri	http://localhost:8080/xmlui/handle/CUHPOERS/244847
dc.description	Despite the scale of the global financial crisis, to date it has not resulted in a sovereign debt crisis among emerging market countries. Two significant factors in this outcome are the improved macroeconomic management and public debt management in these countries over the past decade. This paper reviews the improvements in macroeconomic fundamentals and the composition of public debt portfolios in emerging market countries prior to the crisis and concludes that the policies and strategies pursued by governments provided them with a buffer when the crisis hit. Nevertheless, with the international capital markets effectively closed for over three months and domestic borrowing in many cases impacted by extreme risk aversion, government debt managers were required to adapt their strategies to rapidly changing circumstances. The paper reviews the impact of the crisis and the responses of debt managers to the drying up of international capital, decreased liquidity in markets, and sharply increased term premia. Three categories of response are identified: (i) funding from other sources to reduce pressure on market borrowing; (ii) adapting funding programs to changes in demand in the different types of securities; and (iii) implementing liability management operations to support the market. Most governments were willing to accept temporarily greater risk in their portfolios, often reversing long established strategies, at a time when financial markets were under stress. These actions contributed to the measures taken by governments to stabilize markets and prevent economies from stalling. Looking to the future, government debt managers will need to consider how they can increase the resilience of public debt portfolios for the uncertain times that lie ahead.
dc.language	English
dc.relation	Policy Research working paper ; no. WPS 5399
dc.rights	CC BY 3.0 IGO
dc.rights	http://creativecommons.org/licenses/by/3.0/igo/
dc.rights	World Bank
dc.subject	ASSET POSITION
dc.subject	AUCTION
dc.subject	AUCTIONS
dc.subject	BAILOUT
dc.subject	BANK FINANCING
dc.subject	BANKING SECTOR
dc.subject	BANKRUPTCY
dc.subject	BASIS POINTS
dc.subject	BOND AUCTIONS
dc.subject	BOND FUND
dc.subject	BOND FUNDS
dc.subject	BOND INDEX
dc.subject	BOND MARKETS
dc.subject	BOND PRICES
dc.subject	BOND YIELDS
dc.subject	BONDS
dc.subject	BORROWING COSTS
dc.subject	BORROWING PLANS
dc.subject	BORROWING REQUIREMENTS
dc.subject	BORROWING STRATEGIES
dc.subject	BUY BACKS
dc.subject	BUYBACK
dc.subject	BUYBACKS
dc.subject	CAPITAL FLOWS
dc.subject	CAPITAL INFLOWS
dc.subject	CAPITAL MARKETS DEVELOPMENT
dc.subject	CAPITAL MOBILITY
dc.subject	CAPITAL OUTFLOWS
dc.subject	CASH FLOWS
dc.subject	CASH RESERVES
dc.subject	CDS
dc.subject	CENTRAL BANK
dc.subject	CENTRAL BANKS
dc.subject	COMMERCIAL BANKS
dc.subject	COMMODITY
dc.subject	COMMODITY PRICES
dc.subject	CREDIBILITY
dc.subject	CREDIT DEFAULT
dc.subject	CREDIT DEFAULT SWAP
dc.subject	CREDIT LINES
dc.subject	CREDITORS
dc.subject	CURRENCY
dc.subject	CURRENCY COMPOSITION
dc.subject	CURRENCY DEPRECIATION
dc.subject	CURRENCY RISK
dc.subject	DEBT CRISES
dc.subject	DEBT CRISIS
dc.subject	DEBT FINANCING
dc.subject	DEBT INSTRUMENTS
dc.subject	DEBT ISSUANCE
dc.subject	DEBT LEVELS
dc.subject	DEBT MARKET DEVELOPMENT
dc.subject	DEBT RATIO
dc.subject	DEBT RATIOS
dc.subject	DEBT SERVICING
dc.subject	DEBT SERVICING COSTS
dc.subject	DEBT STOCK
dc.subject	DEBT STOCKS
dc.subject	DEVALUATION
dc.subject	DEVALUATIONS
dc.subject	DISBURSEMENT
dc.subject	DOMESTIC BOND
dc.subject	DOMESTIC BOND MARKETS
dc.subject	DOMESTIC BORROWING
dc.subject	DOMESTIC CREDIT
dc.subject	DOMESTIC DEBT
dc.subject	DOMESTIC DEBT MARKET
dc.subject	DOMESTIC DEBT MARKETS
dc.subject	DOMESTIC DEBT SECURITIES
dc.subject	DOMESTIC FINANCIAL MARKET
dc.subject	DOMESTIC INSTITUTIONAL INVESTORS
dc.subject	DOMESTIC MARKET
dc.subject	DOMESTIC SECURITIES
dc.subject	ECONOMIC CRISES
dc.subject	ECONOMIC CRISIS
dc.subject	ECONOMIC DOWNTURN
dc.subject	EMERGING MARKET
dc.subject	EMERGING MARKET BOND
dc.subject	EMERGING MARKET COUNTRIES
dc.subject	EMERGING MARKET ECONOMIES
dc.subject	EMERGING MARKETS
dc.subject	EMERGING-MARKET
dc.subject	EXCESS LIQUIDITY
dc.subject	EXCESS SUPPLY
dc.subject	EXCHANGE RATE
dc.subject	EXCHANGE RATES
dc.subject	EXPOSURE
dc.subject	EXPOSURES
dc.subject	EXTERNAL DEBT
dc.subject	EXTERNAL FUNDING
dc.subject	FEDERAL RESERVE
dc.subject	FEDERAL RESERVE BANK
dc.subject	FINANCIAL CRISIS
dc.subject	FINANCIAL FRAGILITY
dc.subject	FINANCIAL INSTITUTIONS
dc.subject	FINANCIAL MARKETS
dc.subject	FINANCIAL SECTOR
dc.subject	FINANCIAL STABILITY
dc.subject	FINANCIAL SYSTEM
dc.subject	FISCAL DEFICITS
dc.subject	FISCAL POLICIES
dc.subject	FISCAL POLICY
dc.subject	FIXED RATE
dc.subject	FLOATERS
dc.subject	FLOATING RATE
dc.subject	FLOATING RATE NOTES
dc.subject	FOREIGN CURRENCY
dc.subject	FOREIGN CURRENCY DEBT
dc.subject	FOREIGN INTEREST
dc.subject	FOREIGN INVESTOR
dc.subject	FOREIGN INVESTORS
dc.subject	FOREIGN MARKETS
dc.subject	GLOBAL BOND
dc.subject	GLOBAL BONDS
dc.subject	GLOBAL CAPITAL
dc.subject	GLOBAL CAPITAL MARKETS
dc.subject	GLOBAL FINANCIAL STABILITY
dc.subject	GOVERNMENT BOND
dc.subject	GOVERNMENT BONDS
dc.subject	GOVERNMENT BUDGETS
dc.subject	GOVERNMENT DEBT
dc.subject	GOVERNMENT DEFICIT
dc.subject	GOVERNMENT FINANCES
dc.subject	GOVERNMENT PAPER
dc.subject	GOVERNMENT REVENUES
dc.subject	GOVERNMENT SECURITIES
dc.subject	GROUP OF INVESTORS
dc.subject	HOLDING
dc.subject	HOLDINGS
dc.subject	ILLIQUID SECURITIES
dc.subject	INDEBTED COUNTRIES
dc.subject	INDEXED BONDS
dc.subject	INFLATION
dc.subject	INFLATIONARY EXPECTATIONS
dc.subject	INSTRUMENT
dc.subject	INSURANCE
dc.subject	INSURANCE COMPANIES
dc.subject	INSURANCE INDUSTRIES
dc.subject	INSURANCE REFORMS
dc.subject	INTEREST COSTS
dc.subject	INTEREST RATE
dc.subject	INTEREST RATE RISK
dc.subject	INTEREST RATES
dc.subject	INTEREST-RATE RISK
dc.subject	INTERNATIONAL BANK
dc.subject	INTERNATIONAL BONDS
dc.subject	INTERNATIONAL CAPITAL
dc.subject	INTERNATIONAL CAPITAL MARKETS
dc.subject	INTERNATIONAL FINANCIAL INSTITUTIONS
dc.subject	INTERNATIONAL RESERVES
dc.subject	INTERNATIONAL SECURITIES
dc.subject	INTERNATIONAL SETTLEMENTS
dc.subject	INVESTOR BASE
dc.subject	INVESTOR CONFIDENCE
dc.subject	ISSUANCE
dc.subject	ISSUANCE OF T-BILLS
dc.subject	ISSUANCES
dc.subject	LIABILITY
dc.subject	LIABILITY MANAGEMENT
dc.subject	LIQUID INSTRUMENTS
dc.subject	LIQUIDITY
dc.subject	LIQUIDITY CRISES
dc.subject	LIQUIDITY POSITION
dc.subject	LOCAL CURRENCIES
dc.subject	LOCAL CURRENCY
dc.subject	LOCAL INVESTOR
dc.subject	LOCAL MARKETS
dc.subject	MACROECONOMIC MANAGEMENT
dc.subject	MACROECONOMIC POLICIES
dc.subject	MACROECONOMIC POLICY
dc.subject	MARKET ACCESS
dc.subject	MARKET BORROWING
dc.subject	MARKET CONDITIONS
dc.subject	MARKET DEVELOPMENTS
dc.subject	MARKET ENVIRONMENT
dc.subject	MARKET INSTABILITY
dc.subject	MARKET INSTRUMENTS
dc.subject	MARKET LIQUIDITY
dc.subject	MARKETABLE SECURITIES
dc.subject	MATURE MARKETS
dc.subject	MATURITIES
dc.subject	MATURITY
dc.subject	MONETARY FUND
dc.subject	MONETARY POLICIES
dc.subject	MONETARY POLICY
dc.subject	MUTUAL FUNDS
dc.subject	NATURAL DISASTERS
dc.subject	NEGATIVE SHOCK
dc.subject	PENSION
dc.subject	PENSION FUNDS
dc.subject	POLICY RESPONSE
dc.subject	PORTFOLIO
dc.subject	PORTFOLIO FLOWS
dc.subject	PORTFOLIOS
dc.subject	PRICE DISCOVERY
dc.subject	PRICE STABILITY
dc.subject	PRIVATE CAPITAL
dc.subject	PRIVATE SECTOR DEVELOPMENT
dc.subject	PUBLIC DEBT
dc.subject	PUBLIC DEBT MANAGEMENT
dc.subject	PUBLIC DEBT MANAGERS
dc.subject	REMITTANCES
dc.subject	RENEGOTIATIONS
dc.subject	RESERVES
dc.subject	RETAIL DEBT
dc.subject	RISK AVERSION
dc.subject	RISK MANAGEMENT
dc.subject	SAMURAI BOND
dc.subject	SECONDARY MARKETS
dc.subject	SECURITIES
dc.subject	SECURITIES MARKETS
dc.subject	SHAREHOLDERS
dc.subject	SHORT-TERM INSTRUMENTS
dc.subject	SHORT-TERM INTEREST RATES
dc.subject	SOVEREIGN DEBT
dc.subject	STOCKS
dc.subject	SUKUK
dc.subject	T-BILL
dc.subject	TOTAL DEBT
dc.subject	TREASURY
dc.subject	YIELD CURVE
dc.subject	YIELD CURVES
dc.title	Public Debt Management in Emerging Market Economies : Has This Time Been Different?
dc.type	Publications & Research :: Policy Research Working Paper
dc.coverage	The World Region
dc.coverage	The World Region