Fiscal Decentralisation and Inclusive Growth in Asia

image of Fiscal Decentralisation and Inclusive Growth in Asia

This report looks at the challenges faced by Asian countries in addressing inclusive growth and fiscal decentralisation. A series of studies examines how policies in the region have evolved in accordance with changes in demography and the economic environment, reflecting country characteristics, history and political economy forces.




Sub-national governments are a crucial part of the public sector. In many countries, sub‑national governments are almost as large as or even larger than the central government in terms of their shares in government spending and revenue. In almost all areas of the government, such as education, infrastructure, poverty reduction and public health, sub‑national governments are a major player in improving the effectiveness of the public sector. Therefore, understanding the nature of intergovernmental fiscal relations and its optimal design is a key policy challenge in both developed and developing countries.


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