20th Annual Meeting of the OECD Network on Fiscal Relations across Levels of Government Managing Fiscal Risks and Building Resilience
20th Annual Meeting of the OECD Network on Fiscal Relations
- Date
- 25-26 April 2024
- Location
- OECD Headquarters
About
Opening session
- Opening by Junghun Kim, Chair
- Update from Head of the Network Secretariat – Sean Dougherty
Agenda
- Session 1. Special session in commemoration of the 20th anniversary of the Fiscal Network
As we celebrate the anniversary of the OECD Network on Fiscal Relations, this first session aimed to assess past strategies and outline good practices in intergovernmental fiscal relations. Drawing on the expertise of panellists including Teresa Ter-Minassian, Jorge Martinez-Vazquez and George Kopits, we explored how evolving fiscal challenges can be addressed through informed policies, emphasising the role of international benchmarking in fostering effective and sustainable fiscal frameworks.
Presentations: Teresa Ter-Minassian; Jorge Martinez-Vazquez; George Kopits
Background references: Latest flagship report Fiscal Federalism 2022 & recent publications, notably Bricks, Taxes and Spending (OECD, 2023).
Presentation of the intergovernmental fiscal outlook
To set the scene for the following discussions, the Secretariat presented a fiscal outlook note, based on the latest OECD Economic Outlook, applying the latest Fiscal Network tools to project fiscal outturns across different levels of government.
Presentation: Sean Dougherty
Background document: Intergovernmental fiscal outlook for 2024 and 2025
- Session 2. Advancing fiscal federalism: Policy reforms and intergovernmental arrangements
In this session, we explored the complexities of reforming intergovernmental fiscal frameworks, focusing on designing and implementing effective fiscal policies and equalisation mechanisms. The session will elaborate on the challenges that countries face while showcasing good practices and potential reforms to fiscal federalism.
Lead presenter: Carlos Guberman (Argentina, Vice Minister of Finance)
Tour-de-table: All delegates are invited to share their country’s recent experiences with strengthening intergovernmental fiscal relations and policy reform plans.
Presentations: Austria; Norway; Finland; Korea; United States
- Session 3. Riding the rollercoaster: Subnational debt in turbulent times
As subnational bond markets face rising rates, fiscal risks loom. This session examined SNGs’ financing exposure, from growing debt and interest rate sensitivity, focusing on debt portfolio characteristics, including a detailed analysis of bonds. We evaluated broader sustainability challenges to guide policy discussions on options to reinforce market discipline and bolster fiscal resilience.
Presentation: Acauã Brochado (NFR Expert)
Lead commenters: Melissa Moye (US Department of Treasury), Begoña Villanueva de Azcona (Spain, Ministry of Finance)
Background document: Subnational debt in turbulent times
- Session 4. Special workshop on future-proofing intergovernmental fiscal transfers
As societies confront risks and evolving priorities, intergovernmental fiscal transfers must adapt. This session explored innovations in transfer design, examining how frameworks can become more flexible and performance-based to address rising healthcare costs, climate adaptation goals and other emerging challenges. The role of competitive and conditional grants in enhancing the impact on specific policy outcomes was also discussed.
Presenters:
Andoni Montes Nebreda (NFR Expert)
Jorge Martinez-Vazquez (Georgia State University)
Panellists:
Luky Alfirman (Indonesia, Ministry of Finance)
Jeff Arkin (US Government Accountability Office)
Peter Berkowitz (DG-Region, European Commission)
Background documents: Adapting intergovernmental transfers for the future and Side effects in designing intergovernmental transfers
- Session 5. Artificial intelligence applications to monitoring public finances
The use of artificial intelligence offers new possibilities to strengthen fiscal oversight and collaboration across all levels of the public sector, taking advantage of new capabilities and greater efficiency. We will discuss leading use cases and challenges.
Presentations: Adèle Liéber and Carlos Gouveia (France, DGFiP); Indonesia
Background documents: Policy Brief on Deploying AI & data analytics
20th Anniversary Reception OECD Château with special guests: TANGO DUO
- Session 6. Navigating conflict and fostering cooperation in fiscal federalism
This session investigated intergovernmental fiscal disputes within federal systems, examining how power and resource distribution among government levels can lead to conflicts impacting fiscal stability and public service provision. We will explore the differing approaches to fostering coordination and collaboration across levels of government, evaluating the impact on governance and efficacy.
Presenter: Tatiana Mota (NFR Expert)
Panellists:
Dave Rowe (White House Office of Management & Budget)
Gabriela Leopoldina Abreu (Brazil, Ministry of Finance)
David Thurman (State of Tennessee & President-Elect, NASBO)
J.J. Kantorowicz (Leiden University)
Background document: Navigating conflict and fostering co-operation in fiscal federalism
- Session 7. Managing fiscal risks and building resilience with fiscal federalism
In light of the interconnected risks from climate change, health threats and technological shifts, all levels of government must cooperate to mitigate impacts and build fiscal resilience. This round examined policy options to improve risk sharing, pooling and intergovernmental cooperation for more effective, resilient governance.
Presenter: Teresa Ter-Minassian (NFR Expert)
Panellists:
Even Vaboen (Norway, Ministry of Local Government)
Christian Eigen-Zucchi (World Bank)
Sandeep Saxena (International Monetary Fund)
Christian Asinelli (CAF Development Bank)
Background document: Managing rising subnational fiscal risks
- Session 8. What work should the Network focus on in the coming period?
Fiscal Network Members were invited to offer their views and make proposals.
We also discussed priorities for the 2025-26 Programme of Work and Budget.
Next in-person meeting: 21st Annual Meeting, 24-25 April 2025 (Paris)