Tracking Global Demand for Advanced Economy Sovereign Debt - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Tracking Global Demand for Advanced Economy Sovereign Debt write by Mr.Serkan Arslanalp. This book was released on 2012-12-03. Tracking Global Demand for Advanced Economy Sovereign Debt available in PDF, EPUB and Kindle. Recent events have shown that sovereigns, just like banks, can be subject to runs, highlighting the importance of the investor base for their liabilities. This paper proposes a methodology for compiling internationally comparable estimates of investor holdings of sovereign debt. Based on this methodology, it introduces a dataset for 24 major advanced economies that can be used to track US$42 trillion of sovereign debt holdings on a quarterly basis over 2004-11. While recent outflows from euro periphery countries have received wide attention, most sovereign borrowers have continued to increase reliance on foreign investors. This may have helped reduce borrowing costs, but it can imply higher refinancing risks going forward. Meanwhile, advanced economy banks’ exposure to their own government debt has begun to increase across the board after the global financial crisis, strengthening sovereign-bank linkages. In light of these risks, the paper proposes a framework—sovereign funding shock scenarios (FSS)—to conduct forward-looking analysis to assess sovereigns’ vulnerability to sudden investor outflows, which can be used along with standard debt sustainability analyses (DSA). It also introduces two risk indices—investor base risk index (IRI) and foreign investor position index (FIPI)—to assess sovereigns’ vulnerability to shifts in investor behavior.
Tracking Global Demand for Emerging Market Sovereign Debt
Tracking Global Demand for Emerging Market Sovereign Debt - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Tracking Global Demand for Emerging Market Sovereign Debt write by Mr.Serkan Arslanalp. This book was released on 2014-03-05. Tracking Global Demand for Emerging Market Sovereign Debt available in PDF, EPUB and Kindle. This paper proposes an approach to track US$1 trillion of emerging market government debt held by foreign investors in local and hard currency, based on a similar approach that was used for advanced economies (Arslanalp and Tsuda, 2012). The estimates are constructed on a quarterly basis from 2004 to mid-2013 and are available along with the paper in an online dataset. We estimate that about half a trillion dollars of foreign flows went into emerging market government debt during 2010–12, mostly coming from foreign asset managers. Foreign central bank holdings have risen as well, but remain concentrated in a few countries: Brazil, China, Indonesia, Poland, Malaysia, Mexico, and South Africa. We also find that foreign investor flows to emerging markets were less differentiated during 2010–12 against the background of near-zero interest rates in advanced economies. The paper extends some of the indicators proposed in our earlier paper to show how the investor base data can be used to assess countries’ sensitivity to external funding shocks and to track foreign investors’ exposures to different markets within a global benchmark portfolio.
Sovereign Debt (SD) in Advanced Economies
Sovereign Debt (SD) in Advanced Economies - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Sovereign Debt (SD) in Advanced Economies write by Rebecca M. Nelson. This book was released on 2011-08. Sovereign Debt (SD) in Advanced Economies available in PDF, EPUB and Kindle. SD, also called public debt or gov¿t. debt, refers to debt incurred by governments. Since the global financial crisis of 2008-2009, public debt in advanced economies has increased substantially. A number of factors related to the financial crisis have fueled the increase, including fiscal stimulus packages, the nationalization of private-sector debt, and lower tax revenue. Even if economic growth reverses some of these trends, aging populations in advanced economies are expected to strain gov¿t. debt levels in coming years. Contents of this report: Def. and Concepts; Trends in SD; Addressing High Debt Levels; Is the U.S. Headed for a Eurozone-Style Debt Crisis?; Implications for the U.S. Economy; U.S. Bank Exposure Overseas. Illus. A print on demand report.
Global Debt Database: Methodology and Sources
Global Debt Database: Methodology and Sources - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Global Debt Database: Methodology and Sources write by Samba Mbaye. This book was released on 2018-05-14. Global Debt Database: Methodology and Sources available in PDF, EPUB and Kindle. This paper describes the compilation of the Global Debt Database (GDD), a cutting-edge dataset covering private and public debt for virtually the entire world (190 countries) dating back to the 1950s. The GDD is the result of a multiyear investigative process that started with the October 2016 Fiscal Monitor, which pioneered the expansion of private debt series to a global sample. It differs from existing datasets in three major ways. First, it takes a fundamentally new approach to compiling historical data. Where most debt datasets either provide long series with a narrow and changing definition of debt or comprehensive debt concepts over a short period, the GDD adopts a multidimensional approach by offering multiple debt series with different coverages, thus ensuring consistency across time. Second, it more than doubles the cross-sectional dimension of existing private debt datasets. Finally, the integrity of the data has been checked through bilateral consultations with officials and IMF country desks of all countries in the sample, setting a higher data quality standard.
Sovereign Debt Composition in Advanced Economies
Sovereign Debt Composition in Advanced Economies - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Sovereign Debt Composition in Advanced Economies write by S. M. Ali Abbas. This book was released on 2014-09-09. Sovereign Debt Composition in Advanced Economies available in PDF, EPUB and Kindle. We examine how the composition of public debt, broken down by currency, maturity, holder profile and marketability, has responded to major debt accumulation and consolidation episodes during 1900-2011. Covering thirteen advanced economies, we focus on debt structure shifts that occurred around the two World Wars and global economic downturns, and the subsequent debt consolidations. Notwithstanding data gaps, we are able to recover some broad common patterns. Episodes of large debt accumulation—essentially, large increases in debt supply— were typically absorbed by increases in short-term, foreign currency-denominated, and banking-system-held debt. However, this pattern did not hold during the debt build-ups starting in the 1980s and 1990s, which were compositionally skewed toward long-term local-currency debt. We attribute this change to higher structural demand for sovereign paper, linked to capital account liberalization in advanced economies, the emergence of a large contractual saving sector, and innovative sovereign debt products. With regard to debt consolidations, we find support for the financial repression-cum-inflation channel for post World War II debt reductions. However, the scope for a repeat of this strategy appears limited unless financial liberalization and globalization were materially rolled back or the current globally agreed monetary policy regime built around price stability abandoned. Neither are significant favorable structural demand shifts, as witnessed in the 1980s and 1990s, likely.
