Transcript Jens Henriksson

Swedish Budget
Consolidation in the 1990:s
Jens Henriksson, IMF
Public Finances
per cent of GDP
6
4
2
0
-2 -85
-4
-6
-8
-10
-12
-14
-87
-89
-91
-93
Gross Debt
OECD Economic Outlook, December 1994
per cent of GDP
Sweden
Year 2000
128.2
Ten Lessons on Budget
Consolidation
1. Sound public finances - a prerequisite
for growth
2. One in debt is not free
3. Somebody has to take the lead
4. Set goals and stick to them
5. Design it as a package
Ten Lessons on Budget
Consolidation
6. Act structurally and consistent
7. Don’t leave the problems to the local
authorities
8. Honesty towards citizens and markets
9. One message
10.Stick to it!
Public Savings
per cent of GDP
4
2
0
-2
-4
-6
-8
-10
-12
1993
1995
1997
1999
2001
2003
2005
2007
2009
The Outcome
Gross Debt, per cent of GDP
Sweden
Year 2000
52.9