Classifies sovereign debt risk as low, medium, or high based on IMF (2013) thresholds for debt-to-GDP, gross financing needs, and optional debt-profile indicators. Advanced economies and emerging markets use different thresholds.
Usage
dk_heat_map(
debt,
gross_financing_needs,
debt_profile = NULL,
country_type = c("ae", "em")
)Arguments
- debt
Numeric scalar. Debt-to-GDP ratio.
- gross_financing_needs
Numeric scalar. Gross financing needs as a share of GDP.
- debt_profile
Optional named list of debt-profile indicators (all as ratios):
- share_st_debt
Share of short-term debt in total debt.
- fx_share
Share of foreign-currency-denominated debt.
- nonresident_share
Share of debt held by non-residents.
- bank_share
Share of debt held by domestic banks.
- change_st_debt
Year-on-year change in the share of short-term debt (in percentage points of GDP).
- country_type
Character. Either
"ae"(advanced economy, default) or"em"(emerging market).
Value
An S3 object of class dk_heatmap containing:
- ratings
Named list of risk ratings (
"low","medium", or"high") for each indicator.- overall
Character. Overall risk level:
"high"if any indicator is high,"medium"if any is medium, otherwise"low".- values
Named list of input values.
- thresholds
The thresholds used for classification.
- country_type
The country type used.
References
International Monetary Fund (2013). Staff Guidance Note for Public Debt Sustainability Analysis in Market-Access Countries. IMF Policy Paper.
International Monetary Fund (2022). Staff Guidance Note on the Sovereign Risk and Debt Sustainability Framework for Market Access Countries. IMF Policy Paper.
Examples
hm <- dk_heat_map(
debt = 0.90,
gross_financing_needs = 0.18,
debt_profile = list(fx_share = 0.30, share_st_debt = 0.15),
country_type = "ae"
)
hm
#>
#> ── IMF Risk Heat Map (Advanced Economy) ────────────────────────────────────────
#>
#> Debt / GDP 90% HIGH
#> Gross financing needs / GDP 18% MEDIUM
#> Short-term debt share 15% HIGH
#> Foreign currency share 30% HIGH
#>
#> ────────────────────────────────────────────────────────────────────────────────
#> Overall risk: HIGH