• Vlatko Paceskoski
  • Krume Nikoloski
  • Emilija Miteva Kacarski


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. 

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: <>. Date accessed: 03 aug. 2020.