Debt & Fiscal Risks Toolkit

Emerging market and low-income countries have made good progress in formulating debt management strategies in recent years, but implementation challenges remain. Implementing a debt management strategy (DMS) requires higher-frequency data and preparation of a clear plan of action through an annual borrowing plan (ABP). DMS typically has a horizon of 3–5 years. Its implementation requires an action plan for the year ahead. Furthermore, several factors determine the timing and size of borrowing within a given year, including the time profile of the gross financing need (GFN)—reflecting the seasonality of revenues and expenditures, and debt service.

Besides supporting the DMS, an ABP has several benefits. It helps the authorities to identify refinancing risk in advance, provide feedback on the feasibility of financing assumptions, and detect financing gaps. In addition, it contributes to market development, facilitates engagement with investors, and promotes transparency.

The ABP also plays a critical role in the formulation of the macroeconomic framework, in particular through its linkage with (1) debt management; (2) fiscal policy; (3) cash management operations and forecasts (inflows and outflows); (4) monetary policy, given the impact of government securities operations on market liquidity; and (5) market development.

Countries with Current Annual Borrowing Plans*

*The documents in this list are published and maintained by governments. This list will be updated annually. (Last update occurred in September 2025.) The publication of an Annual Borrowing Plan is assessed as part of the Debt Reporting Heat Map.

Methodology

The ABP framework consists of an eight-step methodology, supported by an analytical tool, which helps governments to implement their DMS by designing alternative yearly plans consistent with the strategy and taking into consideration government intra-year cash needs and expected market conditions. The ABP framework covers:

• the identification of the DMS and its debt coverage;
• the identification of the most recent annual gross financing need and its in-year time profile;
• the definition of the borrowing instruments for the ABP and the formulation of the plan and of an issuance calendar;
• the validation and publication of the ABP and the issuance calendar;
• the monitoring and review of the ABP.