Category: Odious Debts

‘Dictatorship, Democracies and the Debt Crisis’ (Part I)

(June 1, 1993) Arvind K. Jain uses the concept of agency theory to analyse the effects of corruption of the decision makers on the level of foreign debt.

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Dictatorship, democracies and the debt crisis

(June 1, 1993) The fall of the Saddam Hussein regime in Iraq has called on lenders to account for their funding decisions as never before. Only two decades ago, the prevailing wisdom held that loans to governments were the least likely to go sour because government guarantees eliminated commercial risk. Dictators, in other words, posed no more or less risk than anyone else.

Great Britain v. Costa Rica

(October 18, 1988) Held: (a) In respect of the Banking Transactions: That the Costa Rican Law of Nullities, which in effect relieved Costa Rica of any obligations in respect of these transactions, did not constitute an international wrong. The transactions in question, which in themselves did not constitute transactions of an ordinary nature and which were ” full of irregularities,” were made at a time when the popularity of the Tinoco Government had disappeared, and when the political and military movement aiming at the overthrow of that Government was gaining strength.