Sri Lanka's foreign debt default:
Why the island nation went under DW
20220414
"Since
graduating into a lower middle-income country in
the early 2000s, successive Sri Lankan governments have been increasingly borrowing from private international capital
markets through the issuance of sovereign bonds, seriously contributing
to the precarity of the balance-of-payments of the country," said Dr.
Muttukrishna Sarvananthan, development economist and principal researcher at
the Point Pedro Institute of Development in Sri Lanka. "This capital-market borrowing is unconditional, with relatively high interest rates and much shorter
durations of repayment."
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