ABSTRACT
A macroeconomic framework includes four sets of projections covering the main dimensions of any economy: the real sector, the balance of payments, the fiscal accounts and the monetary sector. Adjustments in government revenues and expenditures have always been important in macroeconomic programming, partly through their influence on national production and the demand for imports and partly through their impact on domestic credit and money creation, but their role has become especially prominent during the past two decades. In the fiscal accounts, government consumption is reflected in current government expenditure and government investment in capital expenditure. Explicit fiscal targets are necessary to frame the formulation of the budget, and enable the legislature and the public to monitor the design and implementation of government policy, making the government politically as well as financially accountable.
