Hello Venturers, 👋Have you heard about the term “the fragile five”? No, it’s not a league of superheroes. It’s a group of emerging markets heavily dependent on foreign investment to finance their growth. In other words, countries that take a lot of international money.Ghana, Kenya, Angola, Ethiopia, and Zambia —Africa’s “fragile five"— are the most indebted countries. If a fiscal reconstruction does not occur soon, these nations run the risk of having their loan requests denied by international lenders and investors.Making difficult decisions for survival as a result of debt is now necessary. Ghana has asked its local bondholders to accept losses on interest payments. Last week, it decided on a debt swap, aiming to restructure its debt to qualify for an IMF loan.In one of our articles, we discuss how Ghana’s plan to save its economy is bringing pain to investors.Zainab AmooSocial Media Executive.
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A debtor's dilemma 😔
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Hello Venturers, 👋Have you heard about the term “the fragile five”? No, it’s not a league of superheroes. It’s a group of emerging markets heavily dependent on foreign investment to finance their growth. In other words, countries that take a lot of international money.Ghana, Kenya, Angola, Ethiopia, and Zambia —Africa’s “fragile five"— are the most indebted countries. If a fiscal reconstruction does not occur soon, these nations run the risk of having their loan requests denied by international lenders and investors.Making difficult decisions for survival as a result of debt is now necessary. Ghana has asked its local bondholders to accept losses on interest payments. Last week, it decided on a debt swap, aiming to restructure its debt to qualify for an IMF loan.In one of our articles, we discuss how Ghana’s plan to save its economy is bringing pain to investors.Zainab AmooSocial Media Executive.