## Spending Smarter: How Efficient and Well-Allocated Public Spending Can Boost Economic Growth _Fiscal Monitor, October 2025_ ## Source details **Canonical URL:** [Spending Smarter: How Efficient and Well-Allocated Public Spending Can Boost Economic Growth](https://www.imf.org/en/publications/fm/issues/2025/10/07/fiscal-monitor-october-2025) ## Other formats - [Markdown version](/en/publications/fm/issues/2025/10/07/fiscal-monitor-october-2025/index.md) - [Structured JSON version](/en/publications/fm/issues/2025/10/07/fiscal-monitor-october-2025/index.json) - [Bundle manifest](/en/publications/fm/issues/2025/10/07/fiscal-monitor-october-2025/bundle-manifest.json) ## Bibliographic details - Authors: Vitor Gaspar Read - Published: October 15, 2025 --- ### Key findings - Redirecting public spending toward infrastructure, education, health, and research and development, without increasing overall spending, can deliver significant long-term gains in output. - Closing gaps in spending efficiency can further magnify these gains. - Institution-building is identified as the most effective strategy to improve spending efficiency. - The analysis provides new global and time-varying datasets of public spending efficiency and rigidity. ### Analytical focus - Examines how governments can improve economic growth prospects by enhancing the efficiency and composition of public spending while keeping the overall spending envelope unchanged. - Emphasizes composition shifts (infrastructure, education, health, research and development) rather than increases in total spending. - Highlights the role of efficiency gaps and institutional reforms in amplifying growth returns to spending. ### Data and methodological contributions - Introduces new global and time-varying datasets of public spending efficiency and rigidity. ### Engagements and dissemination - Press briefing speakers: - Vitor Gaspar, Director, Fiscal Affairs Department, IMF - Era Dabla-Norris, Deputy Director, Fiscal Affairs Department, IMF - Davide Furceri, Division Chief, Fiscal Affairs Department, IMF - Moderator: Tatiana Mossot, Senior Communications Officer, IMF - Panel discussion at the Center for Strategic and International Studies: The Fiscal Monitor event starts @ 1:03:04 time stamp - Speakers: Arthur Asiimwe, Deputy Chief of Mission, Embassy of Rwanda; Shanta Devarajan, Professor of International Development, Georgetown University; Pjer Šimunović, Ambassador of Croatia to the United States - Moderator: Philip Luck, Director, Economics Program, Center for Strategic and International Studies ### Publication - Fiscal Monitor — Spending Smarter, October 2025 *Source: Fiscal Monitor — Spending Smarter (October 2025).* --- ## Content in this bundle - **2025octfiscalmonitordatabase** - [2025octfiscalmonitordatabase (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/data/2025octfiscalmonitordatabase.xlsx.md){rel="alternate" type="text/markdown"} - [2025octfiscalmonitordatabase (XLSX)](/-/media/files/publications/fiscal-monitor/2025/october/data/2025octfiscalmonitordatabase.xlsx){rel="external" type="application/vnd.openxmlformats-officedocument.spreadsheetml.sheet"} - **Dataset overview** - [Dataset overview (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/data/ch1database.xlsx.md){rel="alternate" type="text/markdown"} - [Dataset overview (XLSX)](/-/media/files/publications/fiscal-monitor/2025/october/data/ch1database.xlsx){rel="external" type="application/vnd.openxmlformats-officedocument.spreadsheetml.sheet"} - **Chapter 1** - [Chapter 1 (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/ch1.pdf.md){rel="alternate" type="text/markdown"} - [Chapter 1 (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/ch1.pdf){rel="external" type="application/pdf"} - **Chapter 1 Online Annex** - [Chapter 1 Online Annex (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/ch1onlineannex.pdf.md){rel="alternate" type="text/markdown"} - [Chapter 1 Online Annex (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/ch1onlineannex.pdf){rel="external" type="application/pdf"} - **Executive Summary** - [Executive Summary (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/execsum.pdf.md){rel="alternate" type="text/markdown"} - [Executive Summary (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/execsum.pdf){rel="external" type="application/pdf"} - **Press Briefing: Fiscal Monitor Presentation; october 2025** - [Press Briefing: Fiscal Monitor Presentation; october 2025 (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/fiscal-monitor-pb-slides-1025.pdf.md){rel="alternate" type="text/markdown"} - [Press Briefing: Fiscal Monitor Presentation; october 2025 (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/fiscal-monitor-pb-slides-1025.pdf){rel="external" type="application/pdf"} - **Foreword** - [Foreword (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/foreword.pdf.md){rel="alternate" type="text/markdown"} - [Foreword (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/foreword.pdf){rel="external" type="application/pdf"} - **Introductory Remarks at the Press Conference - Fiscal Monitor; October 2025** - [Introductory Remarks at the Press Conference - Fiscal Monitor; October 2025 (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/introductory-remarks-press-conference-vitor-1025.pdf.md){rel="alternate" type="text/markdown"} - [Introductory Remarks at the Press Conference - Fiscal Monitor; October 2025 (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/introductory-remarks-press-conference-vitor-1025.pdf){rel="external" type="application/pdf"} - **msa** - [msa (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/msa.pdf.md){rel="alternate" type="text/markdown"} - [msa (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/msa.pdf){rel="external" type="application/pdf"} - **Preface** - [Preface (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/preface.pdf.md){rel="alternate" type="text/markdown"} - [Preface (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/preface.pdf){rel="external" type="application/pdf"} - **Full Report** - [Full Report (Markdown version)](/-/media/files/publications/fiscal-monitor/2025/october/english/text.pdf.md){rel="alternate" type="text/markdown"} - [Full Report (PDF)](/-/media/files/publications/fiscal-monitor/2025/october/english/text.pdf){rel="external" type="application/pdf"} --- ## References - [Previous Fiscal Monitor Reports](https://www.imf.org/en/publications/fm) - [Read the Blog](https://www.imf.org/en/blogs/articles/2025/10/07/spending-smarter-to-boost-growth) - [https://www.imf.org/en/home](https://www.imf.org/en/home) _Source: https://www.imf.org/en/publications/fm/issues/2025/10/07/fiscal-monitor-october-2025_