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Trends in Fiscal Transparency: Evidence from a New Database of the Coverage of Fiscal Reporting

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  • Rachel F Wang
  • Mr. Timothy C Irwin
  • Lewis K Murara

Abstract

Although there are several measures of fiscal transparency, none provides satisfactory information on certain issues of macroeconomic relevance, including whether fiscal data are available for all of general government, whether the government reports a balance sheet, and whether spending and revenue are reported on a cash or accrual basis. Drawing on government finance statistics reported to the IMF, this paper presents a new database of fiscal transparency for 186 countries in 2003–13 and derives from it indices of the overall comprehensiveness of fiscal statistics as well as specific indices of the coverage of public institutions, fiscal flows, and fiscal stocks, respectively. It finds evidence of gradual improvement, most notably in the coverage of institutions, but most countries’ reporting remains far from comprehensive

Suggested Citation

  • Rachel F Wang & Mr. Timothy C Irwin & Lewis K Murara, 2015. "Trends in Fiscal Transparency: Evidence from a New Database of the Coverage of Fiscal Reporting," IMF Working Papers 2015/188, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2015/188
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    References listed on IDEAS

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    Cited by:

    1. Ablam Estel APETI & Bao-We-Wal BAMBE & Jean Louis COMBES, 2022. "On the Macroeconomic Effects of Fiscal Reforms : Fiscal Rules and Public Expenditure Efficiency," LEO Working Papers / DR LEO 2985, Orleans Economics Laboratory / Laboratoire d'Economie d'Orleans (LEO), University of Orleans.
    2. Emna Trabelsi, 2022. "Does fiscal transparency matter for financial (in)stability? An empirical study on emerging and developing countries," Economics Bulletin, AccessEcon, vol. 42(3), pages 1598-1608.
    3. Capasso, Salvatore & Cicatiello, Lorenzo & De Simone, Elina & Gaeta, Giuseppe Lucio & Mourão, Paulo Reis, 2021. "Fiscal transparency and tax ethics: does better information lead to greater compliance?," Journal of Policy Modeling, Elsevier, vol. 43(5), pages 1031-1050.
    4. Lasse Aaskoven, 2016. "Fiscal Transparency, Elections and Public Employment: Evidence from the OECD," Economics and Politics, Wiley Blackwell, vol. 28(3), pages 317-341, November.
    5. Timothy C. Irwin, 2016. "Dispelling fiscal illusions: how much progress have governments made in getting assets and liabilities on balance sheet?," Public Money & Management, Taylor & Francis Journals, vol. 36(3), pages 219-226, April.
    6. Claudio Columbano, 2022. "Measuring fiscal guidance transparency," Public Sector Economics, Institute of Public Finance, vol. 46(2), pages 261-296.
    7. Janků, Jan & Libich, Jan, 2019. "Ignorance isn't bliss: Uninformed voters drive budget cycles," Journal of Public Economics, Elsevier, vol. 173(C), pages 21-43.
    8. Haizhen Mou & Maritza Lozano Man Hing, 2021. "Stringency of balanced budget laws and transparency of budgeting process," Public Budgeting & Finance, Wiley Blackwell, vol. 41(2), pages 45-64, June.
    9. Emna Trabelsi, 2019. "Do independence and transparency matter for bank development? A new lookup on emerging and developing countries," Post-Print hal-02162780, HAL.
    10. De Simone Elina & Gaeta Giuseppe Lucio & Mourão Paulo Reis, 2017. "The Impact of Fiscal Transparency on Corruption: An Empirical Analysis Based on Longitudinal Data," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 17(4), pages 1-17, October.
    11. Lorenzo Cicatiello & Elina Simone & Giuseppe Lucio Gaeta, 2017. "Political determinants of fiscal transparency: a panel data empirical investigation," Economics of Governance, Springer, vol. 18(4), pages 315-336, November.
    12. Christopher Gandrud & Mark Hallerberg, 2016. "Interpreting Fiscal Accounting Rules in the European Union," CESifo Working Paper Series 6228, CESifo.
    13. Gootjes, Bram & de Haan, Jakob, 2022. "Do fiscal rules need budget transparency to be effective?," European Journal of Political Economy, Elsevier, vol. 75(C).

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