UNCTAD, World Bank and IMF Workshop Geneva, February 06-10 2017 THE MTDS DOCUMENT UNCTAD, World Bank and IMF Workshop Geneva, February 06-10 2017

Debt Law

What works will vary – but there are some things not to do Content and presentation varies widely – what works for you? Reproduction of the World Bank/IMF Aide Memoire Detailed discussion of all the steps utilized in the MTDS process

Background outlines objectives and context Objectives and Scope Objectives Scope of debt included Costs and risks to be managed Existing Portfolio Description of debt levels and trends, including drivers Composition by creditor, currency, interest type, etc. Key risk and cost indicators Conclusions regarding the costs and risks to be managed Environment for Debt Management Market environment Policy and budget environment Constraints on policy choices regarding debt portfolio

Strategy section describes objectives and how they were developed Analysis Description of analysis undertaken Assumptions and forecasts Limitations Strategy Description of a single, clear strategy Desired composition of portfolio and rationale Progress to be made over period Risk/cost indicators that will be targeted

Example Indicators Table Goal Indicator Target Manage FX risk FX non EUR debt (as % of MTDS debt) ≤ 30 Domestic market development domestic debt (as % of RS MTDS debt) ≥ 30 Manage refinancing risk ATM (years) ≥ 4 short term debt - original maturity (as % of last year public revenues) ≤ 8 Manage interest rate risk Fixed rate debt (% of MTDS debt) ≥ 60 Manage cost of debt WAIR (%) ≤ 3.5

Additional information can be included on specific plans Specific projects (implementation of DMS?) Specific measures for domestic market development (new framework?) Monitor and evaluate Description of how progress will be measured Steps to be taken if conditions change

MTDS is an Ongoing Process Formulate Agreement (Publish) Implement Monitor (Regular: Annual, but more often if key changes) Revise (if warranted)