In this paper we provide some evidence of a number of differences between developed and developing countries, which create dissimilar conditions for fiscal policy and debt management implementations. These differences are due to two major characteristics of a developing economy - the low income level (higher level of poverty, low saving rate, etc.) and the fragile confidence in the policies commitments and their implementation. A conclusion might be drawn that a developing country is more inclined to maintain fiscal deficits and opt for debt-financing (external) in order to alleviate current social problems and to boost up economic growth. However, the outcome might be a high level of indebtedness and a heavy burden of debt service, which withdraws a growing amount of domesti resources.