INTERNATIONAL DEBT AND DEVELOPING COUNTRIES

  • Vlatko Paceskoski
  • Krume Nikoloski
  • Emilija Miteva Kacarski

Abstract

This paper analyses the determinants of long term external debt for a large sample of developing countries. We found that, in addition to the standard economic variables, institutional and socio-political variables are a key factor in explaining the level of external debt. In fact, the international debt crisis was caused when a large number of poor countries were not able to pay the interest rates for their foreign debt. Through a strategic approach we provide recommendations, guidelines and suggestions to overcome and resolve the external debt of developing countries, as key issue in the global economy. 


Key words: external debt; developing countries; financial architecture; world economy. 

Published
Feb 22, 2018
How to Cite
PACESKOSKI, Vlatko; NIKOLOSKI, Krume; MITEVA KACARSKI, Emilija. INTERNATIONAL DEBT AND DEVELOPING COUNTRIES. Yearbook - Faculty of Tourism and Business Logistics, [S.l.], v. 3, n. 2, p. 313-318, feb. 2018. Available at: <http://js.ugd.edu.mk/index.php/YFNTS/article/view/2215>. Date accessed: 19 apr. 2018.