Discover and read the best of Twitter Threads about #restructuredebt
Most recents (2)
🧵on SL's debt, what debt restructuring is - and how we do it.
This is a complicated topic so please ask any question you have, however simple it may seem.
#SriLankaEconomicCrisis #SriLankaCrisis #IMFNow #RestructureDebt
(1/25)
This is a complicated topic so please ask any question you have, however simple it may seem.
#SriLankaEconomicCrisis #SriLankaCrisis #IMFNow #RestructureDebt
(1/25)
First, why does Sri Lanka take on debt?
For 2 reasons. One is for direct investment (projects) - eg, loans to finance vaccines/roads.
The other is to bridge the negative balance between our dollar inflows and outflows, and essentially pays for our consumption.
(2/25)
For 2 reasons. One is for direct investment (projects) - eg, loans to finance vaccines/roads.
The other is to bridge the negative balance between our dollar inflows and outflows, and essentially pays for our consumption.
(2/25)
Project debt is often multilateral (agencies like World Bank, ADB) or bilateral (direct loans from India/China/Japan).
The "bridging" debt is rarely multilateral (except IMF loans) - and has been historically bilateral and more recently, commercial.
(3/25)
The "bridging" debt is rarely multilateral (except IMF loans) - and has been historically bilateral and more recently, commercial.
(3/25)
What exactly is the process behind the IMF - and why are we doing this IMF thing again?
Why do we need to do this regardless of #GoHomeRajapaksas or not?
#SriLankaEconomicCrisis #SriLankaCrisis #IMFNow #RestructureDebt
(1/19)
Why do we need to do this regardless of #GoHomeRajapaksas or not?
#SriLankaEconomicCrisis #SriLankaCrisis #IMFNow #RestructureDebt
(1/19)
First, what is the IMF?
Think of it as an organization that exists to help countries that have screwed up, and need to show to the world that they're now going to change their ways.
Country has to act themselves, IMF gives confidence and support.
(2/19)
Think of it as an organization that exists to help countries that have screwed up, and need to show to the world that they're now going to change their ways.
Country has to act themselves, IMF gives confidence and support.
(2/19)
Think of it as a naughty kid who tells the teacher, "no no miss, this time I will do my homework" but never does. But when the kid's parents also come along and say that, there's more confidence that this time, the homework will actually get done.
(3/19)
(3/19)
