Question Tag: State Financing

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PSAF – May 2023 – L1 – SC – Q6 – Public Sector Reforms

Criteria for selecting loan sources, Paris Club debt rescheduling principles, and challenges in state government project financing.

Sometimes, countries contracting loan obligations are able to choose between different sources of credits, allowing them to base decisions on the most favorable conditions.

Required:

a. Identify and explain FOUR criteria for decision-making in choosing credit sources. (6 Marks)
b. Explain TWO main principles that guide the Paris Club debt rescheduling process. (4 Marks)
c. Discuss FIVE problems facing state governments in financing projects from capital markets. (5 Marks)

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PSAF – May 2023 – L1 – SC – Q6 – Public Sector Reforms

Criteria for selecting loan sources, Paris Club debt rescheduling principles, and challenges in state government project financing.

Sometimes, countries contracting loan obligations are able to choose between different sources of credits, allowing them to base decisions on the most favorable conditions.

Required:

a. Identify and explain FOUR criteria for decision-making in choosing credit sources. (6 Marks)
b. Explain TWO main principles that guide the Paris Club debt rescheduling process. (4 Marks)
c. Discuss FIVE problems facing state governments in financing projects from capital markets. (5 Marks)

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