What a transparent budget needs to disclose

The IMF's fiscal transparency code sets out practices for reporting government finances. It covers financial statements, budgeting and forecasts, and the disclosure and management of fiscal risks.

Those risks can include obligations that may become public costs later, such as guarantees. A budget can look complete for the coming year while leaving readers with little information about the circumstances in which those obligations would come due. The code gives governments and auditors a shared framework for describing the gaps.