Capital Cities

Finance and Governance of Capital Cities in Federal Systems

Capital cities are unique because they are the seat of the national government and they host national institutions such as legislative buildings, national museums and arts centres, and other institutions for which the federal government is responsible. Capital cities take on political, administrative, and cultural/symbolic roles that are different than other cities in the country.  At the same time, they are cities where people live, use local services, and engage in local political activity. Although many of the political, cultural, and symbolic functions of capital cities in federal countries are similar, there is considerable variation in many of the other characteristics of these cities. In terms of finance and governance, national capitals differ with respect to (i) the local governing structure, (ii) their roles, responsibilities, and revenues, and (iii) their fiscal relationship with the federal government. These distinguishing features reflect differences in national cultures, historical development, constitutions, political structures, and ideologies.

The purpose of this theme is to examine federal policy towards its capital city in ten federal countries with a particular emphasis on the funding arrangements and governance of capital cities. Each chapter will examine the role of the federal government in the finance and governance of the capital city and the extent to which the federal government compensates capital cities for their unique role. This theme draws on capital cities in the following countries as case studies: Australia, Canada, Ethiopia, Germany, India, Mexico, Nigeria, South Africa, Switzerland, and the United States.

Theme Coordinator: Enid Slack, Munk Centre for International Studies, University of Toronto

Country Experts:
  • Australia: Graham Samson, University of Technology, Sydney
  • Canada: Almos Tassonyi, Ministry of Finance, Government of Ontario
  • Ethiopia: Assefa Fiseha, Civil Service College
  • Germany: Horst Zimmermann,  Philipps Universität Marburg
  • India: Om Prakash Mathur, National Institute of Public Finance and Policy
  • Mexico: Mario Delgado Carrillo, Secretary of Finance for Mexico City,
  • Nigeria:J. Isawa Elaigwu, Institute of Governance, Jos
  • Switzerland: Daniel Kuebler, University of Zurich
  • South Africa: Nico Steytler, University of Western Cape
  • United States: Natwar Gandhi, Chief Financial Officer, Washington D.C.

Download the theme template

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capital cities

Finance and Governance of Capital Cities in Federal Systems

water

Water Management in Federal and Federal-type Systems

oil and gas

Non-renewable Natural Resources in Federations

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