IMF warns low-income countries about higher debt risks

Low income countries’ higher exposure to non-traditional lenders could increase risk, as public debt levels have risen over the last decade, says the International Monetary Fund.

The profile of lenders to these economies has evolved, as international institutions have been replaced by bond investors, international commercial banks, or commodity traders. The very nature of these lenders can increase rates and shorten maturities, the IMF says. Furthermore, these actors operate outside of the Pari