The session at the World Bank/IMF Annual Meetings’ Civil Society Policy Forum, titled “Transparency is Not Enough: Empowering Domestic Oversight of Public Debt,” fostered a dialogue on strengthening domestic oversight systems and mechanisms. The discussion explored strategies to improve public accountability in government borrowing and identified ways international financial institutions could support these efforts. Participants also shared input on necessary reforms and actions to enhance the capacity of domestic actors to monitor, report, and scrutinize public debt, thereby safeguarding economic stability and ensuring more equitable outcomes for all citizens.
Government borrowing decisions had been recognized as having significant, long-lasting impacts on public services, economic stability, and the most vulnerable populations. However, these decisions often evaded public scrutiny due to complex debt management systems, separate from national budgets, and opaque reporting practices that prioritized lenders over the public. As many countries faced repeated debt crises, prior efforts toward debt relief and transparency, though essential, were noted as insufficient for preventing future crises. The session highlighted the need for robust accountability that goes beyond disclosing debt data to actively empowering domestic actors—such as legislatures, supreme audit institutions (SAIs), civil society organizations, and communities—to hold governments accountable for responsible borrowing decisions.
