The Fortune of Geopolitical Conditions in Debt Diplomacy

Autor:	Gustavo Del Angel, Lorena Pérez-Hernández
Rok vydání:	2021
Předmět:	Economy Political science Debt media_common.quotation_subject External debt Geopolitics Settlement (litigation) Diplomacy media_common
Zdroj:	Sovereign Debt Diplomacies ISBN: 0198866356 Sovereign Debt Diplomacies
Popis:	This chapter revisits the relevance of geopolitical factors during sovereign debt negotiations. We explain how the Mexican government reached an agreement with international creditors for the repayment of its foreign debt in 1942, after more than twenty-five years of unsuccessful negotiations. The agreement, that included a haircut of 90 per cent, was the result of a change in the geopolitical situation of Mexico, when the United States entered the Second World War and considered that country a strategic ally. The agreement, we argue, also derived from Mexico’s proactive stance in debt negotiations and bond repurchasing. This chapter studies the process of negotiations since 1922 and the conditions that allowed Mexico to reach an unusually advantageous settlement.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::caf8a01346e8e5087d1381e9ab899e47 https://doi.org/10.1093/oso/9780198866350.003.0006 Zobrazit plný text záznamu