On the Implementation of Transfers to Subnational Governments

27 Pages Posted: 3 Mar 2006

See all articles by Ehtisham Ahmad

Ehtisham Ahmad

International Monetary Fund (IMF)

Bob Searle

Government of the Commonwealth of Australia - Commonwealth Grants Commission

Date Written: June 2005

Abstract

This paper examines a typology of grants that are used across the world, and places these in the context of the overall constitutional and legal framework for a country. It looks at the options for grants, given the need to maintain overall macroeconomic stability, efficiency in the use of scarce resources as well as reduced horizontal disparities. The role of central objectives in a decentralized framework is also assessed. The paper argues for a comprehensive framework for grants, as well as a proper institutional framework to manage grants systems.

Keywords: Intergovernmental Fiscal Relations, Grants

JEL Classification: H77

Suggested Citation

Ahmad, Ehtisham and Searle, Bob, On the Implementation of Transfers to Subnational Governments (June 2005). IMF Working Paper No. 05/130, Available at SSRN: https://ssrn.com/abstract=887999

Ehtisham Ahmad (Contact Author)

International Monetary Fund (IMF) ( email )

700 19th Street NW
Washington, DC 20431
United States

Bob Searle

Government of the Commonwealth of Australia - Commonwealth Grants Commission

Canberra, ACT 2612
Australia

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