Fiscal Discipline in WAEMU: Rules, Institutions, and Markets

Author/Editor: Ermal Hitaj ; Yasin Kursat Onder
Publication Date: October 23, 2013
Electronic Access: Free Full text (PDF file size is 295KB).
Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate
Summary: This paper gauges the scope for market discipline and the effectiveness of the regional surveillance framework in the West African Economic and Monetary Union (WAEMU). The paper finds that the responsiveness of sovereign bond rates to governments’ fiscal behavior in the regional financial market remains limited. In addition, the paper examines the effectiveness of fiscal rules and institutions in an environment where financial markets fall short of exerting a significant disciplining effect on governments.
Series: Working Paper No. 13/216
Subject(s): Fiscal policy | West African Economic and Monetary Union | Sovereign debt | Public debt | Bonds | European Economic and Monetary Union | Cross country analysis | Economic models

Publication Date: October 23, 2013
ISBN/ISSN: 9781484398685/1018-5941 Format: Paper
Stock No: WPIEA2013216 Pages: 29
US$18.00 (Academic Rate:
US$18.00 )
Please address any questions about this title to