External debt is the part of a country's debt owed to creditors outside the country. This includes debt owed to private commercial banks, governments, or international financial institutions such as the IMF and World Bank. Debt is that which is owed. ... The essential function of a bank is to provide services related to the storing of value and the extending of credit. ... A government is an organization that has the power to make and enforce laws for a certain territory. ... The flag of the International Monetary Fund (IMF) The International Monetary Fund (IMF) is the international organization entrusted with overseeing global financial system‘s current trade account balances of member states. ... The International Bank for Reconstruction and Development (IBRD, in Romance languages: BIRD), better known as the World Bank, is an international organization whose original mission was to finance the reconstruction of nations devastated by WWII. Now, its mission has expanded to fight poverty by means of financing states. ...
See also
Internal debt
External links
IMF National Summary Data Pages (http://dsbb.imf.org/Applications/web/sddsnsdppage/) (see "External Debt" under "External Sector")
External debt (or foreigndebt) is that part of the total debt in a country that is owed to creditors outside the country.
IMF defines it as "Gross external debt, at any given time, is the outstanding amount of those actual current, and not contingent, liabilities that require payment(s) of principal and/or interest by the debtor at some point(s) in the future and that are owed to nonresidents by residents of an economy."[1]
Sustainable debt is the level of debt which allows a debtor country to meet its current and future debt service obligations in full, without recourse to further debt relief or rescheduling, avoiding accumulation of arrears, while allowing an acceptable level of economic growth.
Reorganization of the debts of a municipality is typically accomplished either by extending debt maturities, reducing the near-term payment of principal or interest, or refinancing the debt by obtaining a new loan backed by new taxes and budgetary austerity.
These proposals for reform of the sovereign debt restructuring process should be exposed as an integral part of a broader strategy toward emerging markets to keep poor countries permanently chained to the tyranny of foreigndebt and condemn them to the slavery of export to service such debt.
Foreigndebt in the existing international financial architecture is in essence highway robbery of the poor countries by the rich in the form of predatory lending.
Feeds |
Contact