Following modest growth of 0.4% in 2023, the Commission's 2024 autumn forecast projects real GDP to rise by 0.9% in 2024. Economic activity is expected to accelerate to 1.5% in 2025 driven by stronger consumption and a rebound in investment from its contraction in 2024. In 2026, the economy is...

This study examines the debt sustainability of State-Owned Enterprises (SOEs) in Indonesia to evaluate its implications for the country's fiscal health. The rising external debt of SOEs, which has surpassed private businesses in recent years, has raised significant concerns among stakeholders....

This paper develops a world economy HANK model for the Euro Area (EA) Core and Periphery, which captures key features of EA cross‐ and within‐country heterogeneity, to study debt target reforms. We show that fiscal consolidation under the current EA institutional arrangements is quite costly...

Being indebted represents significant risks associated with global financial instability in a world where financial stability hangs precariously between debt and economic growth. The International Monetary Fund (IMF) casts a critical eye over countries navigating the perilous seas of fiscal...

Being indebted represents significant risks associated with global financial instability in a world where financial stability hangs precariously between debt and economic growth. The International Monetary Fund (IMF) casts a critical eye over countries navigating the perilous seas of fiscal...

Many emerging markets and developing economies face elevated debt vulnerabilities and financing needs. Following the 2020-21 surge in debt levels associated with the COVID-19 shock, and the subsequent tightening in global financial conditions, many emerging markets and developing economies...

Despite significant efforts to unwind the impact of the COVID-19 fiscal stimulus and other shocks, debt levels in many Low-Income Countries (LICs) remain relatively high, with debt vulnerabilities exacerbated by uncertain global conditions and a changing creditor landscape. In this context, the...