Fiscal Responsibility and Budget Management Act in India: A Review and Recommendations for Reform
The paper assesses India’s experience with fiscal consolidation and performance under the Fiscal Responsibility and Budget Management (FRBM) Act.
Managing Capital Flows: Issues in Selected Emerging Market Economies
This book compares and contrasts the theoretical paradigm and empirical evidence on merits of capital account liberalization and the role of capital account management.
A Review of Governance e-Solution Investments, 2004-2012
This paper explains how information and communication technology applications in ADB's development projects in South Asia helped improve governance in the region while highlighting the key lessons learned from these projects.
Reserve Bank of India’s Policy Dilemmas: Reconciling Policy Goals in Times of Turbulence
This paper examines some of the more critical policy dilemmas facing the Reserve Bank of India in its pursuit of stabilizing inflation and sustaining high growth.
Food Price Escalation in South Asia - A Serious and Growing Concern
South Asia is arguably the most vulnerable region to increasing food inflation given the large segment of the population living below or near the poverty line. This paper deals with the problems related to food price inflation in South Asia in a comprehensive manner. It presents an in-depth empirical analysis of the possible factors that could explain the increase in food inflation, and discusses the impact of food price inflation on poverty and macroeconomic stability in South Asia.
The Global Financial Crisis: Impact on Asia and Emerging Consensus
The financial crisis, initially traced to subprime mortgage market in the United States (US) and the resulting deleveraging process by global financial institutions involved in highly complex financial transactions, marks the first global financial crisis of the 21st century. Few countries linked to the global financial markets and international trade were spared from the sudden downturn as the financial system imploded in September 2008.
The Impact of the Global Crisis on South Asia
In South Asia, India and Sri Lanka were affected most by the global economic crisis. They initially responded to the supply shock by a combination of fiscal and monetary policies to mitigate the impact and support economic growth. Bangladesh and Sri Lanka took narrower targeted fiscal stimulus measures, but India adopted more across-the-board fiscal stimulus to support economic growth. The differences in the fiscal and monetary policy stance reflect the impact of the crisis, the assessment of the downturn, and the availability of fiscal space.
An Assessment of Cross-country Fiscal Consolidation
This paper analyzes fiscal adjustment by reviewing the cross-country experience of the Organization for Economic Cooperation and Development (OECD) or mature economies, and the emerging market economies during 1970-2002. We find that initial conditions, composition, and timing of adjustment matter for successful fiscal adjustment (SFA).
First, countries with higher primary deficits and larger government debts are more likely to pursue SFA.