Restoring Public Finances, 2012 Update

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Author(s):
OECD
Publication Date :
21 Nov 2012
Pages :
272
ISBN :
9789264179455 (PDF) ; 9789264179448 (print)
DOI :
10.1787/9789264179455-en

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This report gives an update on fiscal consolidation strategies across OECD member countries since last year. Chapter 1 describes the scope and composition of country plans, compares them with calculated fiscal need, and provides information on the timing and details. Chapter 2 contains notes on each of the countries which present the current fiscal position and announced fiscal paths, the consolidation plans, and detailed expenditure and revenue measures. Chapter 3 discusses the financial situation and consolidation needs of sub-national governments, and the policies that are being carried out at both levels of government to reach the consolidation objectives.

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    Foreword

    At the 2011 annual meeting of the OECD Senior Budget Officials, the OECD Secretariat was invited to update its 2010-11 report on fiscal consolidation strategies across OECD member countries, "Restoring Public Finances". In response, a questionnaire was submitted to countries in December 2011 (the "OECD Fiscal Consolidation Survey 2012"). Based on country responses and publicly available information, the Secretariat has produced 31 country notes (see Chapter 2) which provided the background for Chapter 1.

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    Editorial by the Secretary-General of the OECD

    The debate on how to restore the health of public finances after the crisis remains at the forefront of policy agendas worldwide. Even prior to the crisis, the OECD area as a whole had been in deficit every year but one since the mid-1970s, leading to a sharp increase in indebtedness. This heavy debt burden and the future increases in expenditure related to an ageing population will pose additional challenges to ensure that government debts are sustainable over the longer term.

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    Preface by the Chair of the OECD Working Party of Senior Budget Officials
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    Executive summary

    In the aftermath of the global financial crisis and the fiscal stimulus efforts that followed, many OECD countries have adopted fiscal consolidation programmes. In fact, it is a long time since so many countries have been simultaneously attempting to curb their fiscal deficits and debt levels.

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    Fiscal consolidation targets, plans and measures in OECD countries

    This chapter discusses the consolidation efforts of OECD countries as of December 2011. The data on fiscal deficit and gross debt for EU countries are updated based on actual figures for 2010 and 2011, and recently adopted fiscal consolidation is taken into account mainly for some countries that had not adopted the 2012 budget before the survey deadline. The chapter analyses current fiscal positions and announced fiscal strategies, consolidation plans, deficit reduction plans, the specific measures aimed at expenditure reduction and revenue enhancement, and recent reforms regarding pensions.

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  • Expand / Collapse Hide / Show all Abstracts Fiscal consolidation: OECD country profiles

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      Sources and methods
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      Australia
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      Austria
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      Belgium
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      Canada
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      Czech Republic
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      Denmark
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      Estonia
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      Finland
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      France
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      Germany
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      Greece
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      Hungary
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      Iceland
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      Ireland
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      Italy
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      Japan
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      Korea
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      Luxembourg
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      Mexico
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      Netherlands
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      New Zealand
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      Poland
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      Portugal
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      Slovak Republic
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      Slovenia
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      Spain
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      Sweden
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      Switzerland
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      Turkey
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      United Kingdom
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      United States
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      References
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      Involving sub-national governments in fiscal consolidation
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