## Modernizing the Framework for Fiscal Policy and Public Debt Sustainability Analysis

_Policy Papers, August 5, 2011_

## Source details

**Canonical URL:** [Modernizing the Framework for Fiscal Policy and Public Debt Sustainability Analysis](https://www.imf.org/en/publications/policy-papers/issues/2016/12/31/modernizing-the-framework-for-fiscal-policy-and-public-debt-sustainability-analysis-pp4586)

## Other formats

- [Markdown version](/en/publications/policy-papers/issues/2016/12/31/modernizing-the-framework-for-fiscal-policy-and-public-debt-sustainability-analysis-pp4586/index.md)
- [Structured JSON version](/en/publications/policy-papers/issues/2016/12/31/modernizing-the-framework-for-fiscal-policy-and-public-debt-sustainability-analysis-pp4586/index.json)
- [Bundle manifest](/en/publications/policy-papers/issues/2016/12/31/modernizing-the-framework-for-fiscal-policy-and-public-debt-sustainability-analysis-pp4586/bundle-manifest.json)

## Bibliographic details
- Published: August 5, 2011
- Series: Policy Papers

---

### Summary
- Modernizing the framework for fiscal policy and public debt sustainability analysis (DSA) has become necessary, particularly in light of the recent crisis and rising sustainability concerns in some advanced economies.
- The paper recognizes the inherently challenging nature of DSA but highlights areas where improvements are needed and makes both general and specific proposals on how this could be achieved.
- It proposes moving to a risk-based approach to DSAs for all market-access countries, where the depth and extent of analysis would be commensurate with concerns regarding sustainability, while maintaining a reasonable level of standardization.

### Key findings and themes
- Recent crisis and rising sustainability concerns in some advanced economies have increased the need to modernize DSA frameworks.
- DSA is inherently challenging; improvements are necessary in methods and presentation to better capture risks and sustainability concerns.
- A balance is needed between standardization and tailoring analysis depth based on country risk.

### Proposals and policy recommendations
- Move to a risk-based approach to DSAs for all market-access countries:
  - Depth and extent of analysis should be commensurate with concerns regarding sustainability.
  - Maintain a reasonable level of standardization across DSAs.
- Make both general and specific methodological improvements to enhance the quality and relevance of DSAs.

### Publication and metadata
- Publication title: Modernizing the Framework for Fiscal Policy and Public Debt Sustainability Analysis
- Date: August 5, 2011
- Format: Web landing page with a downloadable PDF option
- Subject tags: Cross country analysis, Debt sustainability analysis, Developed countries, Emerging markets, Fiscal policy, Public debt

*Source: Modernizing the Framework for Fiscal Policy and Public Debt Sustainability Analysis (August 5, 2011).*

---

## Content in this bundle

- **_080511**
  - [_080511 (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/np/pp/eng/2011/_080511.pdf.md){rel="alternate" type="text/markdown"}
  - [_080511 (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/np/pp/eng/2011/_080511.pdf){rel="external" type="application/pdf"}

---

_Source: https://www.imf.org/en/publications/policy-papers/issues/2016/12/31/modernizing-the-framework-for-fiscal-policy-and-public-debt-sustainability-analysis-pp4586_