02113cas a2200265 a 4500 AALejournalIMF015601 230101c9999 xx r poo 0 0eng d 5.00 USD 9781513530253 1018-5941 BD-DhAAL BD-DhAAL Alter, Adrian. Public Investment in a Developing Country Facing Resource Depletion / Adrian Alter, Matteo Ghilardi, Dalia Hakura. Washington, D.C. : International Monetary Fund, 2015. 1 online resource (35 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper analyzes the tradeoffs between savings, debt and public investment in the Republic of Congo, a developing country with looming oil exhaustibility concerns. Our results highlight the risks to fiscal and capital sustainability of oil exporting countries from large scaling-up in public investment and oil price volatility in view of a projected decline in the oil revenue to GDP ratio. However, structural reforms that improve the efficiency of public investment can allow for a relatively faster buildup of sustainable public capital and sustain higher non-oil growth without adversely affecting the debt ratio or savings. Moreover, we show that even if a government pursues prudent fiscal policy that preserves resource wealth and debt sustainability in the face of exhaustible and volatile resource revenues, low public investment quality in the form of a misallocation of resources can hinder attainment of sustainable public capital and positive non-oil growth. Mode of access: Internet Ghilardi, Matteo. Hakura, Dalia. IMF Working Papers; Working Paper ; No. 2015/236 Full text available on IMF http://elibrary.imf.org/view/journals/001/2015/236/001.2015.issue-236-en.xml IMF e-Library