Emerging Issues and Challenges in Fiscal Federalism in Brazil: Some Lessons for India (original) (raw)
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Brazil is a highly decentralized federation. The 27 states (including the Federal District) and 5,559 municipalities together account for over one-third of total government spending and revenue collection. States and municipalities also account for almost 40 percent of the public sector's net debt stock. Revenue mobilization capacity is concentrated in the more prosperoud states and municipalities of the South and Southeast, and some equalization of expenditure capacity has been pursued through mandated revenue sharing. Political and administrative decentralization are also sizable. Each subnational jurisdiction has its own directly-elected legislature and executive branches, as well as an independent judiciary. The federal government has limited control over subnational tax administration; budget formulation, execution, and oversight; and wage and investment policies.
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It has been a privilege for the Forum of Federations to work with the Secretariat for Federative Affairs (SAF), Ipea, and with all the authors of this volume over many years to enrich the global discourse on comparative federalism. Rupak Chattopadhyay President and CEO Forum of Federations 30 Years of the Brazilian Federal Constitution: perspectives for Brazilian federalism 12 | The papers in this book allow the reader to not only understand the challenges Brazil faces in improving its federative model, especially as it regards the role of municipalities, but also to visualize necessary advancements in Brazilian federalism. The book seeks to provide Brazilian society with important elements to understand its federative model and strengthen itself in this process. We wish the reader an enjoyable, informative experience.
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