The household debt balance has rapidly increased to approach 1,400 trillion won (US$1.24 trillion) as of the end of June this year. It is estimated the balance may have surpassed the 1,400-trillion-won level by mid-August. As the amount of household debt reaches 90 percent of the gross domestic products (1,637 trillion won at the end of last year), economists began warning the high debt level may pose an obstacle to further growth.According to the Bank of Korea on August 23, the balance of house...

  Pursuant to Article 3:246 paragraph 1 of the Dutch Civil Code (DCC) pledgees have the power to enforce their right of pledge on receivables by claiming (direct) payment of the receivable. This power also includes the right to enforce rights o...

Key Points A disposition by a receiver, whether appointed by the court or under a fixed charge, is not a disposition by a mortgagor for the purposes of s284 Insolvency Act 1986 (“IA”). The wider implications of the decision may be to lim...

In light of the recent market events, the trading prices of many loans have fallen dramatically. As a result, companies (or their private equity sponsors) may consider utilising the debt buy-back mechanics in their credit agreements. A debt buy-back...

On April 17, the Alberto Ángel Fernández administration in Argentina officially unveiled its offer for debt restructuring on USD 66 billion foreign currency-denominated bonds. Starting on that date, the offer is valid for 20 days, a period during which difficult negotiations with bondholders are expected to take place. Based on the first reactions from some […]

The post Argentina’s Debt Restructuring “Groundhog Day”… or Maybe Not? Three Key Points appeared first on Inter Press Service.

A more equitable and fair society, able to conquer the effects of pandemics, starts with debt-free education and skills development

The post Young people need a bailout: Cancel student debt held by national banks appeared first on The Mail & Guardian.

Legal proceedings have been launched in Switzerland against Britain’s Prince Andrew and his ex-wife Sarah, a newspaper reported on Thursday, over money they were said to still owe on a luxury chalet.Queen Elizabeth’s second son and Sarah, who remain close despite their 1996 divorce, bought the plush holiday home in the Verbier ski resort in southwest Switzerland in 2014 for 22 million Swiss francs (US$21.7 million).The wooden chalet has seven bedrooms, an indoor swimming pool and a sauna, Le…

The world’s poorer nations, reeling under an unrelenting attack on their fragile economies by the COVID-19 pandemic, have suffered an equally deadly body blow: being buried under heavy debt burdens. Abiy Ahmed, prime minister of Ethiopia who was awarded the Nobel Peace Prize in 2019, said last week that in 2019, 64 countries, nearly half […]

The post World’s Poor Hit by Double Jeopardy: a Deadly Virus & a Devastating Debt Burden appeared first on Inter Press Service.

A high level of external debt is linked with decreased economic growth but there are policy options that can help economies keep growing.

Asia’s economies have generally maintained sound macroeconomic policies that can help the region withstand this latest challenge and emerge even stronger.

Bank-held nonperforming loans in some Asian economies have risen in recent years. Policy makers should address this growing risk now.

The pandemic provides an opportunity for regional financial cooperation on reforms to make Asian banks more resilient to crises.

WASHINGTON: Some debts were not sustainable and needed to be restructured, re-profiled or written off, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said in an interview recorded earlier this week.

In this interview to ITV News, Ms Georgieva also urged governments to spend more money on health workers to protect the most vulnerable.

“There is a possibility that in some cases debt simply is not sustainable and therefore some action has to be taken either to re-profile or restructure or in some cases write off this debt,” she said.

Although G20 countries have promised some debt relief, a transcript of the interview, released by the IMF headquarters in Washington, indicated that Ms Georgieva believed the crisis required them to go further.

Imran has argued that heavy debt burdens are preventing countries from focusing on the challenge of saving people from pandemic as well as hunger

Last month, Prime Minister Imran Khan appealed to the leaders of rich countries, the UN secretary general and heads of financial institutions to give debt relief to developing countries like Pakistan so that they could combat the deadly Covid-19 in a better way.

The prime minister argued that heavy debt burdens were preventing some countries from focusing on the real challenge of saving their people from the deadly pandemic and hunger that extended lockdowns would trigger.

The IMF chief, while acknowledging the need to restructuring loans, also said the first priority was to combat the disease that has already killed hundreds of thousands and infected several millions across the globe.

“The only thing we ask countries is please spend more money for your doctors and nurses — and please, please use the money to protect the most vulnerable,” she said.

The interviewer, Julie Etchingham, noted that loans usually came with conditions — such as tightening public spending — that were difficult to implement during the Covid-19 crisis.

Ms Georgieva said she was aware of the risks ahead for the IMF. “We are looking to the transparency and accountability in countries. They themselves are coming up with commitments to audit the use of the funds we provide, but there are no strings attached,” she said.

The IMF chief said that more than 100 countries had reached out to them for help to fight the pandemic and 50+ requests were swiftly approved for a total of about $18 billion.

Asked to assess the scale of the crisis facing the global economy, Ms Georgieva did not mince her words. “It is the worst crisis since the Great Depression. But it is more than that because it is a combination of a health crisis and an economic shock,” she said. “And it is truly global.”

The IMF now has about $1 trillion dollars lending capacity — four times more than in the last financial crisis.

The IMF approved $1.386 billion of assistance for Pakistan under the Rapid Financing Instrument to address the economic impact of the Covid-19 shock.

Published in Dawn, May 9th, 2020

Could President Trump refuse to pay back the $1.1 trln the U.S. owes to China? While markets would hate the idea, it’s theoretically possible thanks to broad powers designed for times of emergency. John Foley explains how this dangerous weapon could be used if push came to shove.

South Africa's central bank has temporarily prohibited the use of debt issued by the Land Bank as collateral after the state agricultural lender was downgraded deeper into junk status and missed $2.7 billion in loan repayments.

[Having appointment with real estate experts #5] While buying a home is quite easy for high-income households, it is another story for the middle-class. With a wise and specific financial plan, the chances of owning a home can still lie within reach even if an average income.

Mark Lawson and Dan Milmo discuss the sustainability of the streaming service. Plus: Lara Spirit on why you should register to vote before Tuesday’s deadline

Netflix has risen from obscurity to be one of the most powerful media companies in the world with more than 150 million global subscribers. It has launched critically acclaimed hits such as House of Cards, The Crown and Unbelievable, as well as showcasing the back catalogues of popular television series. But as part of its rapid growth, the company has racked up huge debts.

Joining Anushka Asthana to discuss the long-term sustainability of Netflix are the TV critic Mark Lawson and the Guardian’s deputy business editor Dan Milmo.

Shuttered stores worsened Montreal-based company’s already struggling business

Follow our live coronavirus updates here Coronavirus: the symptoms

The falling rupee will severely affect the small companies, whereas the big ones will be impacted moderately. Get rid of Debt | Adopt correct investment strategies

Deep recessions have long shadows and already there is a gaping hole opening up in our pandemic response

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The great recession was followed by Brexit, the election of Donald Trump and the rise of authoritarianism particularly in Europe.

Big economic events have big political consequences.

Half of parents with young children will struggle to make ends meet in the next three months, study suggests.

Perth Airport is using heavy machinery and company vehicles to block a number of Virgin Australia aircraft from taking off over what it says are $16 million in unpaid debts.

Australia's second-largest bank says its upcoming results will suffer a massive hit due to COVID-19, on another volatile day for the ASX.

One year after releasing its plan to drag the NT budget out of structural deficit, the Labor Government says a third of its promises have been implemented in full. But some key measures are still in the works and the Opposition is demanding a better look at the books.

Asset Acceptance LLC, a Michigan-based debt buyer, has agreed to a consent decree to settle a civil lawsuit regarding its debt collection activities.

A federal grand jury in Trenton, N.J., returned an indictment charging David Moleski with 14 counts of mail fraud, one count of wire fraud, one count of corruptly impeding the due administration of the Internal Revenue laws and three counts of filing false claims for tax refunds, the Justice Department and the Internal Revenue Service (IRS) announced today.

Quentin Collick of Montgomery, Ala., and Deatrice Williams of Duluth, Ga., were sentenced Nov. 1, 2013, to serve 85 and 51 months in prison, respectively, announced Assistant Attorney General Kathryn Keneally of the Justice Department's Tax Division and U.S. Attorney for the Middle District of Alabama George L. Beck Jr.

Aaron H. Kelly, a United States Postal Service employee, was indicted yesterday in the U.S. District Court for the District of Maryland for four counts of mail fraud, two counts of bank fraud, one count of corruptly endeavoring to obstruct and impede the Internal Revenue Service and two counts of aiding and assisting in the preparation of false tax returns, the Justice Department and IRS announced today following the unsealing of the indictment.

The financing will help Varthana reach more schools by meeting its need for longer-term capital.

The post Indian financier Varthana secures $15m debt financing from DFC appeared first on DealStreetAsia.

Apr 27, 2020

Argentina’s latest effort to restructure its overseas debt probably won’t be its last, according to Harvard University economist Carmen Reinhart, who has sounded alarms over coming emerging markets crises in Venezuela and Turkey.

May 6, 2020

Argentina's creditors are being asked to accept a proposal that would reduce their revenue stream but make it sustainable. A responsible resolution will set a positive precedent, not only for Argentina, but for the international financial system as a whole.

Apr 27, 2020

Argentina’s latest effort to restructure its overseas debt probably won’t be its last, according to Harvard University economist Carmen Reinhart, who has sounded alarms over coming emerging markets crises in Venezuela and Turkey.

May 6, 2020

Argentina's creditors are being asked to accept a proposal that would reduce their revenue stream but make it sustainable. A responsible resolution will set a positive precedent, not only for Argentina, but for the international financial system as a whole.

Debt relief in Somalia and other African countries On Wednesday, the World Bank and International Monetary Fund (IMF) jointly announced that Somalia is now eligible for debt relief under the Heavily Indebted Poor Countries (HIPC) initiative. Successfully completing the HIPC program will reduce Somalia’s external debt from $5.2 billion currently to $557 million in about…

Apr 27, 2020

Argentina’s latest effort to restructure its overseas debt probably won’t be its last, according to Harvard University economist Carmen Reinhart, who has sounded alarms over coming emerging markets crises in Venezuela and Turkey.

May 6, 2020

Argentina's creditors are being asked to accept a proposal that would reduce their revenue stream but make it sustainable. A responsible resolution will set a positive precedent, not only for Argentina, but for the international financial system as a whole.

The COVID-19 pandemic—in addition to posing a severe threat to public health—has disrupted the economy and financial markets, and prompted a strong desire among investors for safe and liquid securities. In that environment, one might expect U.S. Treasury securities to be the investment of choice, but for a while in March, the $18 trillion market…

Debt relief in Somalia and other African countries On Wednesday, the World Bank and International Monetary Fund (IMF) jointly announced that Somalia is now eligible for debt relief under the Heavily Indebted Poor Countries (HIPC) initiative. Successfully completing the HIPC program will reduce Somalia’s external debt from $5.2 billion currently to $557 million in about…

The COVID-19 pandemic—in addition to posing a severe threat to public health—has disrupted the economy and financial markets, and prompted a strong desire among investors for safe and liquid securities. In that environment, one might expect U.S. Treasury securities to be the investment of choice, but for a while in March, the $18 trillion market…

International community looks to support Africa with debt relief, health aid This week, the G-20 nations agreed to suspend bilateral debt service payments until the end of the year for 76 low-income countries eligible for the World Bank’s most concessional lending via the International Development Association. The list of eligible countries includes 40 sub-Saharan African…

African countries, like others around the world, are contending with an unprecedented shock, which merits substantial and unconditional financial assistance in the spirit of Draghi’s “whatever it takes.” The region is already facing an unprecedented synchronized and deep crisis. At all levels—health, economic, social—institutions are already overstretched. Africa was almost at a sudden stop economically…

Emerging markets and developing countries have about $11 trillion in external debt and about $3.9 trillion in debt service due in 2020. Of this, about $3.5 trillion is for principal repayments. Around $1 trillion is debt service due on medium- and long-term (MLT) debt, while the remainder is short-term debt, much of which is normal…

International community looks to support Africa with debt relief, health aid This week, the G-20 nations agreed to suspend bilateral debt service payments until the end of the year for 76 low-income countries eligible for the World Bank’s most concessional lending via the International Development Association. The list of eligible countries includes 40 sub-Saharan African…

African countries, like others around the world, are contending with an unprecedented shock, which merits substantial and unconditional financial assistance in the spirit of Draghi’s “whatever it takes.” The region is already facing an unprecedented synchronized and deep crisis. At all levels—health, economic, social—institutions are already overstretched. Africa was almost at a sudden stop economically…

As COVID-19 exacerbates the pressure on vulnerable public health systems in Africa, the economic outlook of African countries is also becoming increasingly unstable. Just this month, the International Monetary Fund (IMF) projected that the region’s economic growth will shrink by an unprecedented 1.6 percent in 2020 amid tighter financial conditions, a sharp decline in key…

Global debt has reached a level not seen since 1970. The current environment of low interest rates and subpar growth performance has triggered a debate about benefits and costs associated with debt. This debate has mainly focused on advanced economies. However, emerging market and developing economies (EMDEs) also face record-low borrowing costs and many have…

Emerging markets and developing countries have about $11 trillion in external debt and about $3.9 trillion in debt service due in 2020. Of this, about $3.5 trillion is for principal repayments. Around $1 trillion is debt service due on medium- and long-term (MLT) debt, while the remainder is short-term debt, much of which is normal…