Government Expenditure Arrears Accumulation During the COVID-19 Period An Update

Economic shocks and crises typically lead to a sharp increase in government expenditure arrears with corrosive effects on the economy. In order to assess the evolution of government expenditure arrears during the Coronavirus (COVID-19) crisis, the World Bank collected information on public expenditu...

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Bibliographic Details
Main Author: Lacey, Eric
Other Authors: Massad, Joseph, Mastruzzi, Massimo, Utz, Robert
Format: eBook
Language:English
Published: Washington, D.C The World Bank 2021
Series:Other papers
Subjects:
Online Access:
Collection: World Bank E-Library Archive - Collection details see MPG.ReNa
Description
Summary:Economic shocks and crises typically lead to a sharp increase in government expenditure arrears with corrosive effects on the economy. In order to assess the evolution of government expenditure arrears during the Coronavirus (COVID-19) crisis, the World Bank collected information on public expenditure arrears in client countries in June 2020. The results of this initial data collection exercise are reported in an MTI Insight Note (An Overview of the Potential Impact of the Coronavirus (COVID-19) Crisis on the Accumulation of government Expenditure Arrears), which also discusses the definition of government expenditure arrears, measurement and reporting issues, the main drivers and economic consequences of arrears accumulation, and options for preventing and managing arrears accumulation. This note presents an update based on information available by February 2021