Post
Topic
Board Economics
Re: Some negative effects of foreign loans and bailouts to developing countries
by
Ziskinberg
on 04/06/2025, 23:08:48 UTC
We can’t deny that it’s a real possibility, when a country needs a loan just to survive, it ends up depending heavily on it.

But if the loan is for expansion or development, then the pressure and responsibility aren’t as heavy. In that case, the country has more freedom to choose where to borrow, since their reputation and standing are strong. They’ll likely be able to select lenders offering lower interest rates or better terms, even the unwritten ones that often come with international deals.