The sustainable development goals: How does their implementation affect the financial sustainability of the largest Spanish municipalities

Abstract

AbstractThe Sustainable Development Goals (SDGs) present a universal challenge to which all society must be committed. Local governments play a fundamental role as they are closest to citizens, with first‐hand knowledge of their needs and as providers of essential services. Municipal governments are involved in many aspects of SDG implementation. Thus, these governments should work towards their implementation, bearing in mind that involvement in these issues may affect municipal finances. This paper analyses the impact of SDG implementation by local governments on financial sustainability. Our results show that municipalities with better SDG compliance have shorter supplier payment periods and smaller surpluses (or higher deficits). However, better implementation does not affect gross savings or municipal debt per capita.