WASHINGTON: World Bank chief economist warned, delays in dealing with the growing debt burden in poor countries seems unlikely to be resolved by the G20. But World Bank chief economist Carmen Reinhart is skeptical there will be a resolution soon to help address unsustainable debts. She warned that the average length of a government debt crisis is nine years, which would create a “lost decade” for already vulnerable countries. During the Covid-19 pandemic the G20 put in place a debt service suspension initiative to help countries as they ramped up borrowing to deal with the twin health and economic crises, but that program ended in December. The problem, Reinhart said, is “These little countries are not systemic.

Source: The Express Tribune February 16, 2022 11:18 UTC