Loans bring interest, people actually cant realise how bad interest is. In these moments like pandemics or wars whoever is giving the loan tries to put a condition of compound interest. It is always better to somehow maintain not getting any loans from anyone. You know that almost all the countries have to take loans because even if you have money saved for a rainy day, it is most probably not going to be enough in desperate situations. It is sometimes better to actually borrow money and give it back timely.
Good debt hangs a shelter
up the sky like an umbrella on a rainy day. If a good loan turns bad, the wind blows up the shelter and a heavy pour will freeze the debtor to less than 8°C where his only sole mate would be a shearling jacket. Too many nations starve from resource ownership over bad loan deals. China dominates the Philippines economy as a result of loan. Whoever can't measure up with sustainable loan should flee.