Crisis? What Crisis? Orderly Workouts for Sovereign DebtorsThe Mexican Crisis of 1994/5 came as a rude surprise to the international policy-making community. It revealed serious confusion over how markets, governments, and multilateral institutions like the International Monetary Fund should deal with financial crises in heavily-indebted developing economies. It laid bare a remarkable lack of planning for financial crises in today's world of globalized bond and equity markets. This report analyses various approaches to coping better with Mexico-style crises. |
Contents
Bankruptcy in theory and practice | 7 |
The evolution of procedures for renegotiating sovereign debts | 19 |
Options for reform | 28 |
An agenda for reform | 47 |
Conclusion | 55 |
The theory of bankruptcy and mechanism design | 69 |
Final issues | 82 |
Some issues in sovereign debt and distressed | 87 |
Considerations of international law | 103 |
The Allied Bank litigation | 116 |
The London Club | 127 |
Copyright | |