In recent years, the traditional focus on public debt as the cornerstone of fiscal policy has come under scrutiny. Many countries anchor their fiscal policy on the level of public debt, either implicitly or explicitly through fiscal rules. However, the prolonged period of low interest rates in advanced economies prior to the recent inflation episode has led to a reassessment of the costs associated with public debt and the broader role of fiscal policy. This is particularly relevant in situations where the interest rate on debt (r) is lower than the economy’s growth rate (g). This reassessment has been further fueled by the urgent need for increased public investment to address challenges such as climate change, social insecurity, infrastructure deficits and rising inequality in both rich and poor countries […]