The Challenge of Fiscal Decentralization in Transition Countries

Era Dabla-Norris and Paul Wade

No 2002/103, IMF Working Papers from International Monetary Fund

Abstract: This paper examines key aspects of the ongoing decentralization process in transition economies and identifies areas where the present systems can have potentially adverse impacts on both service delivery and macroeconomic performance. We discuss three critical principles of a sound and efficient decentralized fiscal system-and then show the contrasts between these and actual trends and policies in transition countries.

Keywords: WP; central government; local government; tax revenue; government finance statistics; IMF country economist; tax sharing; Fiscal decentralization; fiscal reform; transition; General government expenditure; national government; equalization grant; Tax authorities; transition country; government finances; govt financing; annual budget; Fiscal federalism; Budget planning and preparation; Expenditure assignments; Central Asia; Baltics; Eastern Europe (search for similar items in EconPapers)
Pages: 44
Date: 2002-06-01
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Citations: View citations in EconPapers (14)

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