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- Indebted sovereign do not have access to debt restructuring too easily, as has often been suggested in the past. Instead the major problem is the eternal “too little, too late” of debt relief. In the past; debt relief has regularly been delayed and minimised, leading to economic hardship in the indebted countries as well as unnecessary losses to creditors when debt, which was rescheduled in vain, ultimately needed to be written off.
- Intrinsically related to this point is the tendency towards excessive loan taking by debtors, who are being offered loans at unrealistically favourable conditions – under the presumption that …
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