Aid Volatility and Macro Risks in Low-Income Countries:

The report argues that aid volatility is an important source of volatility for the poorest countries. Following a method already applied by the Agence Française de Développement, the report argues that loans to LICs should incorporate a floating grace period, which the country could draw upon when...

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Bibliographische Detailangaben
1. Verfasser: Borensztein, Eduardo (VerfasserIn)
Weitere Verfasser: Cagé, Julia (MitwirkendeR), Cohen, Daniel (MitwirkendeR), Valadier, Cécile (MitwirkendeR)
Format: Elektronisch E-Book
Sprache:English
Veröffentlicht: Paris OECD Publishing 2008
Schriftenreihe:OECD Development Centre Working Papers no.273
Schlagworte:
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Zusammenfassung:The report argues that aid volatility is an important source of volatility for the poorest countries. Following a method already applied by the Agence Française de Développement, the report argues that loans to LICs should incorporate a floating grace period, which the country could draw upon when hit by a shock. The definition of a shock should include aid uncertainty, along with others such as commodity shocks and natural disasters. The idea is calibrated to a key IMF policy instrument towards Low-Income Countries, the Poverty-Reducing and Growth Facility (PRGF).
Beschreibung:1 Online-Ressource (43 p.) 21 x 29.7cm.
DOI:10.1787/227667286811

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