The following is the Working Paper No 17/171: Sovereign Debt Restructurings in Grenada: Causes, Processes, Outcomes, and Lessons Learned. Author/Editor: Tamon Asonuma; Xin Li; Michael G Papaioannou; Saji Thomas. Publication Date: 24 July 2017.
Summary: This paper documents the 2 debt restructurings that Grenada undertook in 2004–06 and 2013–15. Both restructurings emerged as a consequence of weak fiscal and debt situations, which became unsustainable soon after external shocks hit the island economy. The 2 restructurings provided liquidity relief, with the 2nd one involving a principal haircut. However, the first restructuring was not able to secure long-term debt sustainability. Grenada’s restructuring experience shows the importance of (1) establishing appropriate debt restructuring objectives; (2) committing to policy reforms and maintaining ownership of the restructuring goals; and (3) engaging closely and having clear communications with creditors.
Loading...
Reload document 
Open in new tab NOW Grenada is not responsible for the opinions, statements or media content presented by contributors. In case of abuse, click here to report.
