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Intergovernmental Grants Systems and Management [electronic resource] : Applications of a General Framework to Indonesia / Bob Searle.

By: Searle, Bob.
Contributor(s): Ahmad, Ehtisham | Ma, Jun | Piperno, Stefano | Searle, Bob.
Material type: materialTypeLabelBookSeries: IMF Working Papers; Working Paper: No. 02/128Publisher: Washington, D.C. : International Monetary Fund, 2002Description: 1 online resource (33 p.).ISBN: 1451855060 :.ISSN: 1018-5941.Subject(s): Equalization Grants | Expenditure Needs | Expenditure | Expenditures | Intergovernmental Relations | State and Local Government | Australia | IndonesiaAdditional physical formats: Print Version:: Intergovernmental Grants Systems and Management : Applications of a General Framework to IndonesiaOnline resources: IMF e-Library | IMF Book Store Abstract: Intergovernmental equalization grants have been described as "the glue that holds a nation together." Getting the grants system right is critical to countries as they decentralize. This paper illustrates general principles with an example based on Indonesia in 2000. A general grant should be used to supplement own revenues and to finance local service provision where there are no central mandates. The special needs of backward regions would be better provided for by specific grants. Specific grants need to be taken into account in the general grants scheme.
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Intergovernmental equalization grants have been described as "the glue that holds a nation together." Getting the grants system right is critical to countries as they decentralize. This paper illustrates general principles with an example based on Indonesia in 2000. A general grant should be used to supplement own revenues and to finance local service provision where there are no central mandates. The special needs of backward regions would be better provided for by specific grants. Specific grants need to be taken into account in the general grants scheme.

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