Handbook

Issues in relation to sovereign debt can have major ramifications for citizens of borrowing and lending countries, and also on the entire financial system.  It is an important area of international finance to understand.  This course looks at the different sources of sovereign finance: bilateral, multilateral and commercial, and the existing legal framework for sovereign debt.  It considers the rules and customs that apply in the event of sovereign debt defaults, and the informal institutions such as the Paris Club and London Club that have developed to deal with sovereign debt restructurings.  Using recent sovereign debt crises as case studies, the course looks at the adequacy of the existing legal framework, and proposals for change.