IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

Government Gains from Central Bank Seigniorage in Transition Economies: A Comparative Study

Listed author(s):
  • Jacek Cukrowski

This article presents a comparative study of the creation and distribution of central bank seigniorage in selected countries of the Commonwealth of Independent States (CIS) (Georgia, Kyrgyzstan, Belarus) and selected Central European countries (Poland, Czech Republic) during the transition to a market economy. A comprehensive framework for measuring seigniorage revenues is presented, and estimates of its sources and uses are computed and analyzed. It is shown that the conventional concept of monetary seigniorage does not reflect government gains from money creation in transitional economies. The study also reveals sources of fiscal seigniorage during periods of macroeconomic stabilization accompanied by tight monetary policy. In particular, contrary to the common view, the analysis shows that typically revenues from money creation have not been extensively to finance government expenditures. Nevertheless, the flow of resources from central banks to state budgets in CIS countries remains significant, mainly due to small nongovernment debt portfolios and quasifiscal operations of central banks.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by M.E. Sharpe, Inc. in its journal Problems of Economic Transition.

Volume (Year): 49 (2006)
Issue (Month): 3 (July)
Pages: 54-88

in new window

Handle: RePEc:mes:prectr:v:49:y:2006:i:3:p:54-88
Contact details of provider: Web page:

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:mes:prectr:v:49:y:2006:i:3:p:54-88. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Chris Nguyen)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.