Thammasat University students interested in ASEAN studies, economics, business, political science, history, and related subjects may find it useful to participate in a free 18 November Zoom webinar on Boosting Affordable and Longer-Term Financing for Governments in Southeast Asia.
The event, on Monday, 18 November 2024 at 9am Bangkok time, is presented by ISEAS – Yusof Ishak Institute, Singapore.
The TU Library collection includes several books about different aspects of ASEAN government financing.
Students are welcome to register for the event at this link:
https://us06web.zoom.us/webinar/register/7517304302744/WN_omKvLAqMSrW4bjcntexO0A#/registration
The event website explains:
About the Webinar
While developing Asia-Pacific economies have displayed resilient output growth in 2023, the lingering effects of the COVID-19 pandemic and the ongoing Ukraine war have had significant socioeconomic impacts. Concurrently, climate change is increasingly disrupting economies. Hence, there is a need to strengthen domestic resource mobilization strategies and macroeconomic fundamentals. Yet, the tangible benefits of such efforts on fiscal and public debt may take years to materialize.
This seminar aims to discuss interconnected issues of macroeconomic prospects and ideas on policy actions to reduce cost of government borrowing and increase the supply of long-term capital in Southeast Asia.
This event is jointly organised with the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP).
About the Speaker
Shuvojit Banerjee is Economic Affairs Officer in the Macroeconomic Policy and Financing for Development Division of ESCAP. He has previously worked with the United Nations Development Programme as Economic Policy Advisor to the Government of Indonesia and Advisor on Foreign Direct Investment and Trade with UNCTAD for governments in Africa and Latin America.
Seung Hyun Hong is a lead specialist and group head for the ASEAN+3 Macroeconomic Research Office (AMRO). He has been involved in public policy consultations on various fiscal issues for the Korean government and developing countries.
Zheng Huan Huan is Assistant Professor at the Lee Kuan Yew School of Public Policy, National University of Singapore. Her research interest lies at the intersection of international finance, public finance, and household finance, and their interplay with public policy.
Earlier this year, the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) published a report that is available online for free download:
Its abstract:
The Survey, published annually since 1947, is a flagship publication produced by the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP). It provides analyses to guide policy discussion on the current and emerging socio-economic issues and policy challenges to support sustainable development in Asia and the Pacific.
The Economic and Social Survey of Asia and the Pacific 2024: Boosting affordable and longer-term financing for Governments is the 77th issue of this flagship publication. The Survey 2024 examines how countries in the region, donors, multilateral development banks and credit rating agencies can boost the availability of affordable and long-term financing for Governments.
Some excerpts:
Despite steady economic performance, people in Asia and the Pacific are experiencing weaker purchasing power, subdued job opportunities and deeper income and gender inequalities. The near-term economic prospects are subject to several downside risks, such as uncertainty relating to monetary policy stance, the depth and duration of China’s economic slowdown and escalation of geopolitical tensions and trade fragmentation within the Asia-Pacific region and beyond. Increasing public investments for development ambitions is looking more difficult. In addition to higher public debt levels, government borrowing costs have risen with shorter loan maturities in recent years.
Many developing countries are forced to choose between servicing debt or investing in education, health and social protection for their people. The Survey for 2024 examines how countries in the region, donors, multilateral development banks and credit rating agencies can boost the availability of affordable and long-term financing for Governments.
Stronger public revenue collection helps mobilize fiscal resources and reduce fiscal risks and borrowing costs. Apart from digitalizing tax administration, policies to increase society’s willingness to pay taxes offer untapped potential. Meanwhile, to increase the supply of long-term capital for investments, including by Governments, more developed capital markets are needed to unleash sizeable domestic savings in the region. Support from international development partners is urgently needed as these domestic policy actions take shape.
Official development assistance should be given to countries with large development financing gaps and high vulnerability to shocks, rather than to those that share political interests. While fresh capital injections for multilateral development banks are overdue, they can better leverage their existing capital and reduce the administrative burden of loan packages. Credit rating agencies should appreciate that public investment in sustainable development raises sovereign creditworthiness over time.
While working to secure more affordable, long-term financing, fiscal policymakers should also keep in view global megatrends. How Governments seize the opportunities and manage the risks brought about by demographic shifts, climate change and technological advancements will determine whether they provide economies and the people with net gains or losses. […]
Relatively steady economic growth in developing economies in Asia and the Pacific is masking declining purchasing power and the risk of rising poverty and socioeconomic inequalities faced by people in the region. Economic headwinds and downside risks that cloud the near-term prospects could further undermine people’s living conditions and well-being.
Despite lagging progress towards achievement of the Sustainable Development Goals, Governments find it increasingly difficult to increase, or even maintain, public investments for development ambitions. Sovereign debt-servicing burden is taking away fiscal resources that should have been used to provide more and better public services and infrastructure.
The Survey for 2024 examines how Asia-Pacific countries, donors, multilateral development banks and credit rating agencies can boost the availability of affordable and long-term financing for Governments.
New policy solutions can solve this long-standing development challenge. For example, harnessing behavioural science to increase society’s willingness to pay taxes offers large untapped potential to close the tax collection gaps that can reduce fiscal risks and thus borrowing costs.
In addition to stronger domestic political will and multilateral development cooperation, shifts in the perspectives of international development partners are critical. Donors should prioritize development financing gaps in recipient countries over political interests. Multilateral development banks could revisit whether the potential development impacts of their capital are being maximized. With a long-term approach, credit rating agencies should appreciate that public investment in sustainable development raises sovereign creditworthiness over time.
(All images courtesy of Wikimedia Commons)