Warlander Asset Management, a New York-based hedge fund formed by Eric Cole, and Illinois Policy Institute CEO John Tillman said the state's record pension bond sale in 2003 and debt issued in 2017 to pay a backlog of unpaid bills were deficit financings
prohibited by the constitution.
Was deficit financing
needed for every single episode of "Star Trek" while you were with Desilu?
The deficit financing
will take into account the best financing options available, including borrowing from the local and international markets; the scheme will be designed so not to adversely affect domestic liquidity to ensure Private Sector growth.
Central bank borrowing, also known as deficit financing
, is believed to be responsible for massive increase in the amount of national currency notes circulating in the economy, whereas the supply of hard currency (dollar) available for exchange remained fixed or somewhat reduced.
"We expect deficit financing
to erode Saudi Arabia"s substantial buffers, a key support for its rating.
S&P believes that in these two countries, debt or Sukuk issuance are more likely as a source of deficit financing
than for other GCC members.
"The government is now expected to issue debt as part of its deficit financing
strategy," it said.
This new financing strategy should reduce the pressure on foreign reserves as the main deficit financing
tool, Jadwa Investment said in its Quarterly Oil Market Update.
Chidambaram had mentioned the current account deficit financing
needs of $75bn over a period of two years through foreign direct investment, FIIs or external commercial borrowings.
S&P added that it considered $86 million in capital revenue as "below-the-line" deficit financing
. This warning S&P could be a precursor to another downgrade.
The deficit financing
bill, which would allow the government to sell bonds needed to fund almost half of the budget, has languished in parliament as the ruling Democratic Party tussles with opposition parties that can use their control of the upper house to reject legislation.
It also brings to mind the directly contradictory empirical work oi Barro and Boskin showing negative or nugatory stimulus effects from deficit financing
of expanded government spending.