Can participation in IMF programs facilitate sovereign debt rescheduling? The role of program size
(2024)
Journal Article
Bai, Y., Banerji, S., Wang, Z., & Zhang, W. (2024). Can participation in IMF programs facilitate sovereign debt rescheduling? The role of program size. Journal of International Money and Finance, 144, Article 103079. https://doi.org/10.1016/j.jimonfin.2024.103079
We develop a theoretical model to explain the possible inverted U-shaped relationship between IMF loan size and the probability of sovereign debt rescheduling. Given that the IMF is a de facto senior creditor, borrowing too much from the IMF leaves a... Read More about Can participation in IMF programs facilitate sovereign debt rescheduling? The role of program size.