In the spirit of debt ceilings and triple-A ratings

By | July 27, 2011

Just so you don’t forget that there are countries where these issues really do matter.

Remember Cote d’Ivoire and the civil war that was ended with the help of France? Well, in January this year, the country defaulted on its Eurobond that was issued only last year. They’ve also decided that they won’t start servicing their debt until sometime next year. The IMF country director sounds positive about it: “I think that the markets would be happier with a government that missed a few coupons and made it up later and had a strong recovery, than a government which met its debt service in a timely manner but failed to relaunch the economy”.

The full story here.