Research Project D4 - Providing Macro-Economic Stability: The Politics of Private Sector Involvement in Sovereign Debt Crises
This project focuses on legal conflicts between sovereign states and private creditors in the
context of debt crises and debt relief initiatives in developing countries. Part one analyzes
the determinants of creditor litigation, in particular whether “weak states” are more likely to
be sued by foreign banks or investors. Part two then investigates the consequences of such
legal action by creditors, specifically how litigation constrains governments in providing public
goods in a crisis context.