of a “blue bond” used to finance the loan. Debt swaps have been part of the debt restructuring landscape since the Latin American debt crisis . Early debt-nature swaps include a 1987 tripartite swap with Bolivia led by Conservation International and a 1989 bilateral swap between The Netherlands and Costa Rica. Since then, well over 100 debt swap operations have been conducted: at least 50 trilateral swaps and approximately 90 bilateral debt swaps involving about 15 official creditors (in some cases, more than one at a time) and benefiting about 30 creditors ( CRS
Debt Buybacks and Swaps in Emerging Market Countries Figure 2: Illustration of the Decision-Making Process Figure 3: Illustration of Decision Rule 1 Appendix A Hypothetical Debt Swap Operation References
and gross accumulation of domestic and external arrears; (iv) external loan receipts and principal payments; (v) bank and nonbank financing, discriminating the domestic assets from liabilities; (vi) debt cancellation and debt swap operations; (vii) any other revenue, expenditure, or financing not included above. Stocks of public domestic debt and external debt. The monthly debt service projected for the next 12-months and annual debt service for the outer years. B. Ceiling on the Net Domestic Credit by the Central Bank Definition 4. There will
the banking system are important pillars of the country’s economic strategy and have been vital in helping withstand turbulent international financial conditions in recent years. The IMF therefore welcomes the authorities’ reaffirmation of their commitment to these policies. “The IMF welcomes the authorities’ efforts to engage creditors in a voluntary debt-swap operation aimed at reducing gross financing requirements in the period ahead, and looks forward to an outcome that will support medium-term financing sustainability. “In adopting the new measures, the