This new edition of the Debt Sustainability Monitor (DSM), by providing an update of fiscal sustainability challenges in the EU, contributes to the monitoring and coordination of euro area Member States' fiscal policies and the aggregate fiscal stance for the euro area to ensure a growth friendly and differentiated fiscal policy. With this aim, the analysis of fiscal sustainability challenges is increasingly used in the context of EU fiscal surveillance, including in setting the appropriate path for countries to reach their medium-term objectives. As an intermediate yearly update within the 3-year cycle of the Fiscal Sustainability Report (FSR), the DSM provides a snapshot of the situation, and is updated to take into account the latest available macroeconomic forecasts (based on the European Commission's Autumn 2017 forecast). The projections also rely on the Economic Policy Committee (EPC) agreed long-term convergence assumptions for the interest - growth rate differential, and the long-term budgetary projections of age-related costs from the joint European Commission - EPC 2015 Ageing Report.