Russian debt

Michael Pollak mpollak at panix.com
Tue Feb 15 20:56:22 PST 2000


Doug Henwood wrote on Tue Feb 15 2000:


> > Am I wrong in thinking that Russia's agreement with the London Club
> > is a vindication of Daniel Davies' argument last month that
> > defaulting on investors, properly handled, will induce them to write
> > off a major portion of your old debt?


> Russia is a special case - 27,000 nuclear weapons and all. If you're
> small & weak, you'd have a much harder time going it alone.

Fair enough. But if that was the overriding consideration, shouldn't it have been the Paris Club -- whose members presumably have foreign policy considerations on their mind -- that cracked first? Isn't it fair to assume that the London Club only cares about getting its money back and the hell with the end of the world?

Michael

__________________________________________________________________________ Michael Pollak................New York City..............mpollak at panix.com



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