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 | | Subnational debt may be the obligation a local, regional, provincial, state government, or of projects that are sponsored by them, including projects involving the private sector through subsidies, partnerships, and concessions. |
 | | Common subnational enterprises are public utilities, such as water and sewer, electric distribution, local toll facilities, public markets, harvest processing facilities and local ports and terminals, etc. The debt is issued either by the project itself (which may be a limited-purpose special district) or on behalf of the project by the general governmental sponsor. |
 | | The security offered by (and creditworthiness of) the subnational unit, without an explicit or implicit guarantee by the national government, is often not clear. |
| www1.worldbank.org /wbiep/decentralization/Topic11.2.htm (2764 words) |
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