FM302 – Tutorial 1

Name: Nirvani Chand

Student ID: s11197382

Debt Sustainability

Title/ Study Findings Researc Recomme Significa

Reference Areas h Gaps nded nt Topic
Topic Study
Study [From
Most to
Least]
Reddy, M. (2006, Public It has been There Tax Tax
February). debt found that were no structure structure
Assessing using expenditure research of Fiji to of Fiji to
sustainability of public is increasing gaps reduce reduce
Fiji‟ s public debt: a expenditu significantly mentione budget budget
cointegration re and while d as deficit; the deficit;
analysis approach. public revenues are expendit high levels the high
In Economic revenue increasing at ure and of levels of
Association of Fiji series a slow rate revenue expenditur expendit
Seminar, Reserve (budget) with the statistics e ure. This
Bank of Fiji, slow were can be a
February. growing collected very
economy, thorough good
proving ly help for
Fiji’s public Fiji to
debt is not manage
sustainable their own
after the funds
research on and pay
budget debt
deficit. sustainab
*It was ly
highlighted
that the
Government
must audit
the
operating
expenditure,
have a
moratorium
on real
operating
 expenditure
and practice
good
governance
so that
budget
deficit and
public debt
can be
sustained.

Piemonte, C. Debt It has been There How to In what

(2021), “The Impact liquidity revealed were no prevent ways can
of the COVID-19 and that debt research liquidity fiscal
Crisis on External solvency liquidity and gaps problems and debt
Debt in Small Island after solvency mentione turning policies
Developing States”, Covid-19 was already d as the into be more
OECD, Paris in Small a challenge authors solvency strengthe
Island and after the had problems. ned
Developi Covid-19 carried technical
ng States crisis, it has out capacity
increased quantitati and
further so by ve institutio
performing research, nal
quality using quality
investments, mainly of the
improving articles Pacific
debt and and
management journals Small
by addition all Developi
of risk available ng
clauses and on the Islands.
organize internet This can
additional be a very
domestic good
resources to help for
grow manage
economic their own
activities in funds
Small Island and pay
Developing debt
States sustainab
ly
Jain, D. K., Singh, To find It has been It has How can How
R., & Patel, A. out if concluded been other should
(2020). Mapping of debt is that Fiji has stated Pacific fiscal
sovereign risks in sustainab high that Countriespolicies
small island le in Fiji sovereign certain maintain be
economies: An by risk and informati debt improved
application of measurin relies too on about sustainabili
so that
contingent claim g implied much on sovereig ty levelsdebt
approach to asset debt n assets using levels in
fiji. Cogent value and financing and Contingent
Fiji stay
Economics & its thus, the liabilities Claim low. This
Finance, 8(1), volatility Government was Approach can be a
1727158. using should take unavaila very
Continge loans lower ble good
nt Claim than 2% help for
Approach than the Fiji to
actual manage
interest their own
paying loans funds
they are and pay
paying off debt
now sustainab
ly with
the help
of
policies
Sirimaneetham, V. The Debt There In what How
(2022). Ensuring public sustainabilit were no ways can should
public debt debt and y is at a research fiscal and fiscal
sustainability in the debt greater risk gaps debt policy
Pacific small island managem after the mentione policies be framewo
developing States ent of Fiji Covid-19 d as more rk be
pandemic policies strengthen created
thus were ed to benefit
recommend used in technical Pacific
ations such order to capacity Island
as study and Nations.
improving public institutiona This can
tax debt and l quality of be a very
administrati debt the Pacific good
on, manage and Small help for
introducing ment of Developin the
social and Fiji g Islands Pacific to
green taxes which manage
and using are their own
public readily funds
spending available and pay
efficiently on the debt
while internet sustainab
 domestic and ly with
markets of constituti the help
Fiji can be on of
improved policies
Creditor (tax or
countries other
can help sources
sustain debt of
levels of Fiji revenue
by fulfilling for
commitment governm
s on ent)
developmen
t assistance
and
integrate
debtor
countries’
vulnerability
to shocks
into
concessional
loan
decisions
and debt
risk
assessments
Sami, J. (2019). To The major There How Fiscal
Public Debt, research findings were no should policies
Economic Growth if the include that research fiscal must be
and Sustainability in Fijian debt levels gaps policies be put under
Fiji: Status, governm in Fiji is not mentione improved observati
Challenges and the ent’s sustainable d as so that on and
Way Forward expansio due to expendit debt levels built
nary budget ure and in Fiji stay better,
fiscal deficit and revenue low this will
policy debts being statistics help in
and rise taken on as well finding
in debt high interest as fiscal ways on
levels rates which policies better
contribut results to a were revenues
e to debt negative readily can be
sustainab impact on available generate
ility or Fiji’s through for the
not economy the governm
internet ent
 and
constituti
ons, etc
Fiscal rules for How It is It was How What can
natural disaster- and natural revealed mentione should be ways
climate change- disasters from the d in the fiscal Pacific
prone small states. and study that research policy Island
(2021). Sustainabilit climate Pacific paper framework Countrie
y, 13(6), 3135. change Island that the be created s can
affect Nations authors to benefit improve
long term particularly received Pacific governm
debt Papua New no Island ent
dynamics Guinea funding Nations policies
for encounter thus, the in order
Pacific budget research to
Island deficits took decrease
Nations mostly from longer debt
natural than levels
disasters expected and
and climate because impact of
change of lack of debts on
which leads funds the
to the economy
increase of .
debts to
recover
from
impacts of
natural
disasters
and climate
change
Loser, C. M. External It is There Fiscal Will
(2004). External Debt and concluded were no policies disaster
debt sustainability: the that debt research must be resilience
guidelines for low- conseque levels have gaps put under of
and middle-income nces on risen as mentione observatio Pacific
countries (Vol. 26). the GDP ratio d as all n and built Island
UN Pacific has fallen quality better Countrie
Island for Pacific data were s be
Countries Islands readily better by
Countries available engaging
resulting in through in fiscal
debt the safety
sustainabilit internet nets
y to be and (insuranc
 excruciating constituti e) or
as economic ons, etc debt.
activities are
insufficient
and
macroecono
mic
indicators
and
economy
growth
levels are
increasing at
a slow rate
Jayaraman, T. K., & The It is It was Fiscal Countrie
Chee-Keong factors revealed mentione adjustment s
Choong. (2008). determini from the d that of Pacific maintain
Exchange market ng research studies Island debt
pressure in a small Exchange paper that based on Countries sustainab
pacific island Market major fiscal ility
country: A study of Pressure factors adjustme levels
fiji: 1975- of Fiji determining nts were using
2005. International Exchange very few Continge
Journal of Social Market which nt Claim
Economics, 35(12), Pressure of limited Approac
985-1004. Fiji is the h
budget research
deficit and scope
external
debt and
debt
sustainabilit
y causing
depreciation
of the Fijian
currency
Keshmeer Makun, The There is an It was What can How to
External debt and research adverse mentione be ways prevent
economic growth in paper impact of d in the Pacific liquidity
Pacific Island studies external research Island problems
countries: A linear the debt on the paper Countries turning
and nonlinear impact of economic that the can into
analysis of Fiji external growth, authors improve solvency
Islands, The Journal debt on playing a received governmen problems
of Economic economic detrimental no t policies . This is
Asymmetries, growth of or harmful funding in order to needed
Volume 23, 2021, Fiji using effect that is thus, the decrease in Fiji as
e00197, ISSN 1703- linear preventing research debt levels
debt
4949 and non- from Fiji’s took and impactsustainab
linear economy to longer of debts on
ility is
ARDL grow than the poor for
modeling significantly expected economy. both
because short and
of lack of long
funds term
loans
Noy, I., & Fiscal It is There Will Fiscal
Edmonds, C. resilience revealed were no disaster adjustme
(2019). Increasing to that Pacific research resilience nt of
fiscal resilience to disasters Island gaps of Pacific Pacific
disasters in the of Pacific Countries mentione Island Island
pacific. Natural Island have low d as the Countries Countrie
Hazards, 97(3), Countries fiscal authors be better s. This
1375-1393. resilience; had by can be a
meaning carried engaging very
they cannot out in fiscal good
overcome quantitati safety nets help for
disaster ve (insurance) the
impact by research, or debt. Pacific to
own income using manage
levels thus mainly their own
debts are articles funds
taken every and and pay
time which journals debt
increases all sustainab
low available ly such
economic on the as
growth and internet recover
low GDP from
growth natural
disasters
on their
own
Bibliography
Reddy, M. (2006, February). Assessing sustainability of Fiji‟ s public debt: a
cointegration analysis approach. In Economic Association of Fiji Seminar, Reserve
Bank of Fiji, February, https://citeseerx.ist.psu.edu/document?
repid=rep1&type=pdf&doi=64223694f85fd97e2a25d1e803b13fa996df8222
Piemonte, C. (2021), “The Impact of the COVID-19 Crisis on External Debt in Small
Island Developing States”, OECD, Paris, https://www.oecd.org/dac/financing-
sustainable-development/External-debt-in-small-island-developing-states(SIDS).pdf
Jain, D. K., Singh, R., & Patel, A. (2020). Mapping of sovereign risks in small island
economies: An application of contingent claim approach to fiji. Cogent Economics &
Finance, 8(1), 1727158.
https://www.tandfonline.com/doi/full/10.1080/23322039.2020.1727158
Sirimaneetham, V. (2022). Ensuring public debt sustainability in the Pacific small
island developing States. https://repository.unescap.org/handle/20.500.12870/5216
Sami, J. (2019). Public Debt, Economic Growth and Sustainability in Fiji: Status,
Challenges and the Way Forward.
https://devpolicy.org/2019-Pacific-Update/Day_2_Panel_5A_Janesh_Sami.pdf
Fiscal rules for natural disaster- and climate change-prone small states.
(2021). Sustainability, 13(6), 3135,
https://www.proquest.com/pq1academic/docview/2501879369/85DD5E650ED54FD9
PQ/7
Loser, C. M. (2004). External debt sustainability: guidelines for low-and middle-
income countries (Vol. 26). UN. https://g24.org/wp-content/uploads/2014/03/26.pdf
Jayaraman, T. K., & Chee-Keong Choong. (2008). Exchange market pressure in a
small pacific island country: A study of fiji: 1975-2005. International Journal of
Social Economics, 35(12), 985-1004,
https://www.proquest.com/pq1academic/docview/274702925/C551A0C9D722424EP
Q/7?accountid=28103
Keshmeer Makun, External debt and economic growth in Pacific Island countries: A
linear and nonlinear analysis of Fiji Islands, The Journal of Economic Asymmetries,
Volume 23, 2021, e00197, ISSN 1703-4949,
https://doi.org/10.1016/j.jeca.2021.e00197
Noy, I., & Edmonds, C. (2019). Increasing fiscal resilience to disasters in the
pacific. Natural Hazards, 97(3), 1375-1393.
https://www.proquest.com/docview/2269783205/824319B4007648B1PQ/4?
accountid=28103
Covid and Post-Covid Economic Recovery
Title/Reference Study Findings Researc Recomme Significan
Areas h Gaps nded t Topic
Topic Study
Study [From
Most to
Least]
Herr, R. (2021). Impact of It has As the What What can
COVID-19 in the Covid-19 been research actions be some
Pacific Island pandemic stated in was can be short- and
Commonwealth: in the the conduct carried out long-term
microstates managing Pacific finding ed to ensure measures
a macro- that major during Pacific to enhance
challenge. The Round impact the economy agricultura
Table, 110(1), 138- was found pandemi returns to l
148. on the c, pre-covid production
economy limited times. , food
of Pacific data was systems
Island availabl and
Countries e to livelihood
as borders which of people
around the was can be
world reviewe restored
were d and and
closed edited enhanced
which after further
decreased more
tourism informat
industry ion was
earning, publishe
investmen d
ts and
other
earnings
resulting
in the
enormous
fall in
GDP
Davila, F., Bourke, R. Impacts, Major Collecti Future What can
M., McWilliam, A., food impacts on of research be some
Crimp, S., Robins, L., system noted was data was must be drivers for
Van Wensveen, M., ... vulnerabil increase on a done on economic
& Butler, J. R. (2021). ities, in huge policies growth for
COVID-19 and food opportuni unemploy scale regarding Post-
systems in Pacific ties to ment however the Covid
Island Countries, support which led quality agriculture times such
Papua New Guinea, resilience to and sector in as
and Timor-Leste: and difficultyquantity order to internation
Opportunities for sustainabl in food of data increase al trade
actions towards the e consumpti was not resilience and
sustainable developm ons, sufficien of similar agriculture
development ent in the economic t as the times such
goals. Agricultural Pacific downturns article as Covid-
Systems, 191, 103137 because ofwas 19
rise in created (unemploy
unemploy during ment and
ment and emergen economic
cy times downturns
when may be
Covid cancelled
pandemi out)
c was on
the rise
Rajah, R., & Dayant, Financing The Sufficie How can Future
A. (2022). Pacific Post economy nt data governme research
Islands debt: financing Covid had been was nt must be
post-COVID-19 Recovery severely accessed maintain done on
recovery amid Economic affected however debt policies
precarious Crisis in by sudden analysis sustainabil regarding
sustainability. In The the closure of of ity the
Sustainability of Pacific borders authors without agriculture
Asia’s Debt (pp. 136- leading to revealed external sector in
166). Edward Elgar decrease that aids and order to
Publishing in tourism findings fund increase
industry were not during a resilience
earnings to crisis like of similar
that authors’ Covid-19 times such
resulted in expectat as Covid-
other ion 19
industries (unemploy
to fall; ment and
increasing economic
unemploy downturns
ment. may be
Thus, it is cancelled
also out)
highlighte
d that
financing
issues had
increased
while
 ensuring
debt
sustainabil
ity had
become a
problem
because of
lack of
revenue
for the
governme
nt
Kumar, N. N., & The The Data What can What
Patel, A. (2022). economic Covid-19 access be some ways can
Modelling the impact impact of pandemic was drivers for traditional
of COVID-19 in small Fiji, played a limited economic economic
pacific island Vanuatu, negative and growth for sectors
countries. Current and impact on solid Post- and
Issues in Tonga Fiji, data was Covid tourism be
Tourism, 25(3), 394- Vanuatu, not times such establishe
404 and availabl as d in the
Tonga’s e as internation Pacific
economy research al trade and to
as major was and investigate
earnings done agriculture the
from while determina
tourism the nts of
and pandemi tourism
remittance c was inter-SIDS
s was happeni (Small
ceased ng thus, Islands
and research Developin
economic could g States)
growth not
was occur on
diminishin a bigger
g at a high scope
rate
Gounder, A., & Cox, Tourism Pacific Researc What Corporate
C. (2022). Exploring and other Island h was ways can strategies
the role of tourism sources of Countries carried traditional to
dependency on income are out economic pandemic
COVID-19 induced dependen heavily during sectors effects on
economic shock in the cy in the dependent the and the private
Small Island Pacific on pandemi tourism be sector
Developing tourism, c thus establishe
States. Current Issues remittance post d in the
in Tourism, 25(7), s and pandemi Pacific
1151-1168. other c and to
sources of informat investigate
income ion was the
which was not determina
heavily accessib nts of
impacted le. tourism
by the Analysis inter-SIDS
closure of has been (Small
borders derived Islands
during the from Developin
Covid informat g States)
pandemic ion
causing availabl
economic e during
shocks pandemi
and c
downturns
Connell, J. (2022). The Major As the Future Future
COVID‐19 in the Pacific impacts authors research research is
Pacific territories: Island from the had, can be recommen
Isolation, borders and Countries pandemic used done on ded on
the complexities of experienc were mainly how to how
governance. Asia & e with found in articles improve tourism
the Pacific Policy Covid-19 health, and economy industry in
Studies, 9(3), 394-407 pandemic economy journals, on the the Pacific
and Post and social results Pacific can be
Covid systems were and to enhanced
while UN complic keep them into a
and ated by stable sustainabl
several differen e industry
countries ces of with
guided local policies
Pacific authoriti and
Island es and practices
Countries metropo
to litan
minimize powers,
impacts interest,
from the objectiv
pandemic e,
and after policies
the and
pandemic, practice
re- s as well
 establishm as
ent of tourism
tourism significa
has been nce and
enhanced budgets
by them to
improve
economic
growth
(main
source)
Iese, V., Wairiu, M., Implicati Economy There What can What
Hickey, G. M., ons of downturn, were no be some actions
Ugalde, D., Salili, D. Covid-19 agriculturresearch short- and can be
H., Walenenea Jr, on al gaps long-term carried out
J., ... & Ward, A. C. househol productio mention measures to ensure
(2021). Impacts of d in the n, ed as the to enhance Pacific
COVID-19 on Pacific markets, authors agricultura economy
agriculture and food food had l returns to
systems in Pacific system carried production pre-covid
Island countries and socio-out , food times.
(PICs): Evidence from cultural quantitat systems
communities in Fiji processes ive and
and Solomon were research livelihood
Islands. Agricultural noted a , using of people
Systems, 190, 103099 major articles, can be
impact of journals restored
Covid-19 and and
increasingonline enhanced
unemploy worksho further
ment and ps for
hardships discussi
ons for
the
research
paper
Figueroa B, E., & Experienc As Covid- It is Future Future
Rotarou, E. S. (2021). es of 19 hit mention research is research
Island tourism-based tourism Pacific ed that recommen can be
sustainable industry Island there ded on done on
development at a in the Countries, was no how how to
crossroads: Facing the Pacific the border external tourism improve
challenges of the restriction funding industry in economy
covid-19 led to the thus, the Pacific on the
pandemic. Sustainabil fall of authors can be Pacific
ity, 13(18), 10081 tourism may enhanced and to
 earnings have into a keep them
that carried sustainabl stable
affected out e industry
the research with
economy with policies
majority own and
alone funds practices
making
the
research
expensi
ve
Wondirad, A. (2022). Fiji’s Since There How to How can
Is Fiji’s tourism sector borders borders were no sustain governme
on the right path to opening were research tourism nt
successfully and the closed due gaps industry to maintain
recovering from the potential to the mention elevate debt
COVID-19 crisis? A for Fiji pandemic ed as the Fiji’s sustainabil
rapid Tourism’ and the authors economy ity
assessment. Current s tourism had without
Issues in Tourism, 1-8 recovery industry carried external
was out aids and
struggling quantitat fund
, as ive during a
vaccinatio research crisis like
ns and , using Covid-19
strict articles,
measures raw data
were and
taken, the journals
virus was on the
under internet
control
thus the
borders
were
opened
and the
tourism
industry is
starting to
stabilize
Reyes, L. G. (2022). Private As There corporate How to
Philippine private sector borders were no strategies sustain
sector response, pandemic were research to tourism
strategies, and state- impacts closed and gaps pandemic industry to
business relations in the tourists mention effects on elevate
toward economic Philippin were ed as the the private Fiji’s
recovery and growth es unable to authors sector economy
post-COVID-19. Busi travel, the had
ness and private carried
Politics, 24(1), 18-35 businesses out
incurred quantitat
losses as ive
demand research
had , using
decreased articles,
even journals
further and
because of online
unemploy worksho
ment, ps for
thus, to discussi
overcome ons for
such the
effects, research
mutual paper
business
activities
were
carried
out and
policy
makers
enforced
laws that
helped the
private
sector for
a period
of time
while
banks
such as
BSP gave
out low
interest
loans to
keep
reviving
the
business
Bibliography
Herr, R. (2021). COVID-19 in the Pacific Island Commonwealth: microstates
managing a macro-challenge. The Round Table, 110(1), 138-148.
https://www.tandfonline.com/doi/full/10.1080/00358533.2021.1875715
Davila, F., Bourke, R. M., McWilliam, A., Crimp, S., Robins, L., Van Wensveen,
M., ... & Butler, J. R. (2021). COVID-19 and food systems in Pacific Island Countries,
Papua New Guinea, and Timor-Leste: Opportunities for actions towards the
sustainable development goals. Agricultural Systems, 191, 103137.
https://www.sciencedirect.com/science/article/pii/S0308521X21000901
Rajah, R., & Dayant, A. (2022). Pacific Islands debt: financing post-COVID-19
recovery amid precarious sustainability. In The Sustainability of Asia’s Debt (pp. 136-
166). Edward Elgar Publishing.
https://www.elgaronline.com/display/edcoll/9781800883710/9781800883710.00014.x
ml
Kumar, N. N., & Patel, A. (2022). Modelling the impact of COVID-19 in small
pacific island countries. Current Issues in Tourism, 25(3), 394-404.
https://www.tandfonline.com/doi/full/10.1080/13683500.2021.1963214
Gounder, A., & Cox, C. (2022). Exploring the role of tourism dependency on COVID-
19 induced economic shock in the Small Island Developing States. Current Issues in
Tourism, 25(7), 1151-1168.
https://www.tandfonline.com/doi/full/10.1080/13683500.2021.1989386
Connell, J. (2022). COVID‐19 in the Pacific territories: Isolation, borders and the
complexities of governance. Asia & the Pacific Policy Studies, 9(3), 394-407.
https://onlinelibrary.wiley.com/doi/full/10.1002/app5.364
Iese, V., Wairiu, M., Hickey, G. M., Ugalde, D., Salili, D. H., Walenenea Jr, J., ... &
Ward, A. C. (2021). Impacts of COVID-19 on agriculture and food systems in Pacific
Island countries (PICs): Evidence from communities in Fiji and Solomon
Islands. Agricultural Systems, 190, 103099.
https://www.sciencedirect.com/science/article/pii/S0308521X21000524
Figueroa B, E., & Rotarou, E. S. (2021). Island tourism-based sustainable
development at a crossroads: Facing the challenges of the covid-19
pandemic. Sustainability, 13(18), 10081, https://www.mdpi.com/2071-
1050/13/18/10081
Wondirad, A. (2022). Is Fiji’s tourism sector on the right path to successfully
recovering from the COVID-19 crisis? A rapid assessment. Current Issues in Tourism,
1-8, https://www.tandfonline.com/doi/full/10.1080/13683500.2022.2138283
Reyes, L. G. (2022). Philippine private sector response, strategies, and state-business
relations toward economic recovery and growth post-COVID-19. Business and
Politics, 24(1), 18-35, https://www.cambridge.org/core/journals/business-and-
politics/article/philippine-private-sector-response-strategies-and-statebusiness-
relations-toward-economic-recovery-and-growth-
postcovid19/0EC7764F8DC6D9DC3649AE3068D70C90