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Sovereign Debt Restructurings 1950-2010

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Author Info

  • Christoph Trebesch
  • Michael G Papaioannou
  • Udaibir S. Das

Abstract

This paper provides a comprehensive survey of pertinent issues on sovereign debt restructurings, based on a newly constructed database. This is the first complete dataset of sovereign restructuring cases, covering the six decades from 1950–2010; it includes 186 debt exchanges with foreign banks and bondholders, and 447 bilateral debt agreements with the Paris Club. We present new stylized facts on the outcome and process of debt restructurings, including on the size of haircuts, creditor participation, and legal aspects. In addition, the paper summarizes the relevant empirical literature, analyzes recent restructuring episodes, and discusses ongoing debates on crisis resolution mechanisms, credit default swaps, and the role of collective action clauses.

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Bibliographic Info

Paper provided by International Monetary Fund in its series IMF Working Papers with number 12/203.

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Length: 128
Date of creation: 01 Aug 2012
Date of revision:
Handle: RePEc:imf:imfwpa:12/203

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Keywords: Debt restructuring; Debt relief; Developing countries; Domestic debt; Emerging markets; Sovereign debt; debt; restructuring; creditor; creditors; payments; debt instruments; interest; debt reduction; bilateral debt; loans; debt sustainability; outstanding debt; debt service; debt rescheduling; solvency; debtor countries; repayment; debt crises; debt renegotiations; debt obligations; external debt; defaults; debt cancellation; credit risk; sovereign ? debt; debt management; bond issuance; public debt; bank loans; obligations; debt swaps; foreign debt; creditor countries; debt repudiation; liabilities; debt service payments; access to credit; debt agreements; debt burden; commercial bank debt; repudiation; borrowing costs; liability management; insolvency; bond market;

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References

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Citations

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Cited by:
  1. Stijn Claessens & M. Ayhan Kose, 2013. "Financial Crises Explanations, Types, and Implications," IMF Working Papers 13/28, International Monetary Fund.
  2. Jeromin Zettelmeyer & Christoph Trebesch & Mitu Gulati, 2013. "The Greek Debt Restructuring: An Autopsy," CESifo Working Paper Series 4333, CESifo Group Munich.
  3. Joshua Aizenman & Gurnain Pasricha, 2013. "Why Do Emerging Markets Liberalize Capital Outflow Controls? Fiscal versus Net Capital Flow Concerns," Working Papers 13-21, Bank of Canada.
  4. Michael Tomz & Mark L. J. Wright, 2013. "Empirical Research on Sovereign Debt and Default," CAMA Working Papers 2013-16, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
  5. Serkan Arslanalp & Takahiro Tsuda, 2012. "Tracking Global Demand for Advanced Economy Sovereign Debt," IMF Working Papers 12/284, International Monetary Fund.
  6. Joy, Mark, 2012. "Sovereign default and macroeconomic tipping points," Research Technical Papers 10/RT/12, Central Bank of Ireland.
  7. Bank for International Settlements, 2013. "Sovereign credit ratings: help or hindrance?," BIS Papers chapters, in: Bank for International Settlements (ed.), Sovereign risk: a world without risk-free assets?, volume 72, pages 62-66 Bank for International Settlements.
  8. repec:idb:brikps:82321 is not listed on IDEAS
  9. Adam Gersl & Petr Jakubik & Tomas Konecny & Jakub Seidler, 2012. "Dynamic Stress Testing: The Framework for Testing Banking Sector Resilience Used by the Czech National Bank," Working Papers 2012/11, Czech National Bank, Research Department.
  10. Bank for International Settlements, 2013. "The role of markets in sovereign debt crisis detection, prevention and resolution," BIS Papers chapters, in: Bank for International Settlements (ed.), Sovereign risk: a world without risk-free assets?, volume 72, pages 116-132 Bank for International Settlements.

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