Sovereign external debt and private sector entry in international financial markets.

• Authors: Brzozowski Michał
• Languages of publication: EN

Abstracts

EN

The aim of this paper is to shed light on the public and private sector interdependencies in the international financial market. Using annual data on sovereign and private sector external indebtedness for 95 emerging and developing countries in the 1970-2012 period it looks at the relationship between the level and structure of public external debt and the likelihood of private sector entry in international bond and loan markets. The private sector entry in the offshore loans and bonds markets is shown to be conditional on the amount of public sector external debt. The relationship is complex but in general the saturation of the financial market with external government liabilities renders the private sector entry into the bonds’ market more difficult.

Keywords

EN

external debt; sovereign; private sector

• Publisher: Uniwersytet Ekonomiczny w Poznaniu
• Journal: Economics and Business Review
• Year: 2018
• Volume: 4(18)
• Issue: 2
• Pages: 24-40

Dates

published

2018-05-25

Contributors

author

Brzozowski Michał

• University of Warsaw, Faculty of Economic Sciences, Department of Macroeconomics and Foreign Trade Theory, Warsaw, Poland,

original work author

Siwińska-Gorzelak Joanna

• University of Warsaw, Faculty of Economic Sciences, Department of Macroeconomics and Foreign Trade Theory, Warsaw, Poland

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Identifiers

DOI

10.18559/ebr.2018.2.2