Innovative techniques of reduction of the foreign debt

Foreign credits can become an essential source of economic growth of a given country. Such a situation occurs only when together with the drawing of credits production possibilities are created in the country making possible the carrying out of payments. The disrespect of this principle can lead to serious problems of solvency and debt crisis, of which the eighties are an example. Theoretically the problem of external debt can be solved by the following ways: on time payment of interest and credit installments; anouncement of insolvency; restructuring of the debt. The country in debt can also take advantage of international programmes for the clearing of debts. But this not always gives the desired effects. In the eighties the innovations of the international finance market caused new techniques of debt reduction to arise, to which belong: debt for equity swap; debt for nature swap; buy-back; debt for Brady Bonds swap. Innovative techniques of foreign debt reduction were very significant during the solving of the Polish debt problem.