backdoor borrowing

backdoor borrowing definition - business

backdoor borrowing

Borrowing by a public authority without voter approval. Public authorities often use backdoor borrowing when voters reject proposed debt issues. Taxpayer funds are used to repay debt accumulated in backdoor borrowing.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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