IDEAS home Printed from https://ideas.repec.org/p/euf/dispap/067.html
   My bibliography  Save this paper

Independent Fiscal Institutions in the EU Member States: The Early Years

Author

Listed:
  • László Jankovics
  • Monika Sherwood

Abstract

This study takes stock of the early history of independent fiscal institutions (IFI) in the EU and draws horizontal lessons for the future from the experiences of Member States. First, it briefly recalls how the consensus of the economic literature about well-designed IFIs was reflected in the EU legislation which prompted the spread of IFIs across the whole EU. The paper then describes the significant differences between IFIs across the Member States in terms of the breadth of their mandates, their resources, their visibility in public debates etc. Subsequently, the paper zooms in on two core tasks of IFIs: i) their production or endorsement of the official macroeconomic forecasts used for fiscal planning, and ii) their assessment of national compliance with numerical rules. Qualitative and some tentative quantitative evidence suggest that in the early years of their operation, IFIs have already played a useful role in national budgetary processes, although some common challenges remain present. The discussion paper concludes with a number of potential ideas for strengthening the role of IFIs to the benefit of sound fiscal policymaking. These include, most notably, ensuring more appropriate independence safeguards, improvements in the forecast endorsement process, a more timely and comprehensive monitoring of numerical rules, as well as a broader application of the comply-or-explain principle in relation to IFIs’ assessments.

Suggested Citation

  • László Jankovics & Monika Sherwood, 2017. "Independent Fiscal Institutions in the EU Member States: The Early Years," European Economy - Discussion Papers 2015 - 067, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
  • Handle: RePEc:euf:dispap:067
    as

    Download full text from publisher

    File URL: https://ec.europa.eu/info/sites/info/files/dp_067_en.pdf
    Download Restriction: no

    More about this item

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
    • H61 - Public Economics - - National Budget, Deficit, and Debt - - - Budget; Budget Systems
    • H68 - Public Economics - - National Budget, Deficit, and Debt - - - Forecasts of Budgets, Deficits, and Debt

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:euf:dispap:067. 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: (ECFIN INFO). General contact details of provider: http://edirc.repec.org/data/dg2ecbe.html .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.