This popular text provides a step-by-step guide on how to use financial management and budgeting tools in the public sector. Students as well as professionals will benefit from the book's practical, case-study approach, and plentiful examples and exercises. This updated edition features new chapters on two urgent topics for many governments--debt capacity analysis and financial risk assessment. The text also includes a new appendix on Excel functions; a new, detailed glossary for easy identification and look up of key terms; updated examples and cases throughout the book; and larger page size for greater clarity of figures and tables.