The US Department of State has released its 2026 Fiscal Transparency Report, finding that 73 of the 139 governments and one entity assessed met the minimum fiscal transparency requirements.

The report found that 67 governments did not meet the required standards, although 14 of them made “significant progress” towards meeting the minimum requirements. The annual assessment examines the transparency and reliability of government financial systems and is also intended to support accountability in the use of US foreign assistance.

2026 Fiscal Transparency Report Released

The State Department said the Fiscal Transparency Report is an important component of effective public financial management and contributes to market confidence and global economic stability.

“Department officials found that 73 of 139 governments and one entity assessed met the minimum fiscal transparency requirements. Sixty-seven did not meet the minimum fiscal transparency requirements, but of those, 14 made significant progress toward meeting the minimum fiscal transparency requirements,” the department said.

The report outlines the minimum standards used in the assessment and reviews governments and entities, most of which were previously identified as recipients of US assistance in the 2014 Fiscal Transparency Report.

The annual review is mandated by the US Congress and is intended in part to ensure appropriate use of US taxpayer funds linked to foreign assistance.

Governments Assessed on Budget Transparency

The Department of State evaluated the public availability, completeness and reliability of budget documents as part of the assessment.

It also examined the transparency of processes used to award government contracts and licences, as well as public procurement contracts.

The assessment is intended to determine whether governments provide sufficient information for citizens, businesses and other stakeholders to understand how public funds are raised, allocated and spent.

The department said transparent fiscal systems can strengthen government accountability by providing greater visibility into public budgets and expenditure.

Report Links Transparency With Business Conditions

The State Department said improved fiscal transparency can also create more competitive conditions for US companies operating in foreign markets.

Greater transparency in public financial management can reduce the risk of corruption and unfair business practices, while stronger standards can improve market access for companies operating internationally.

The department said the report also aims to reduce the risk of financial crimes and promote greater disclosure of government debt data.

It said debt transparency was important in countering what it described as “predatory lending”.

The report therefore links fiscal transparency not only to public accountability but also to broader economic stability, international business conditions and the protection of US taxpayer-funded assistance.

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