Synthesising good practices in fiscal federalism
Key recommendations from 15 years of country surveys
The design of intergovernmental fiscal relations can help to ensure that tax and spending
powers are assigned in a way to promote sustainable and inclusive economic growth.
Decentralisation can enable sub-central governments to provide better public services
for households and firms, while it can also make intergovernmental frameworks more
complex, harming equity. The challenges of fiscal federalism are multi-faceted and
involve difficult trade-offs. This synthesis paper consolidates much of the OECD’s
work on fiscal federalism over the past 15 years, with a particular focus on OECD
Economic Surveys. The paper identifies a range of good practices on the design of
country policies and institutions related strengthening fiscal capacity delineating
responsibilities across evels of government and improving intergovernmental co-ordination.
Published on April 14, 2020
In series:OECD Economic Policy Papersview more titles