Coercive restructuring of insolvent banks unsecured debt would be next.

Lending to foreign governments is in many ways inherently riskier than unsecured private debt or junk bonds.

But, while the debt was highly rated, how could anyone objectively assess unsecured and virtually unenforceable obligations?

You'll fell unsecured and depressed...

Warning this is an unsecured session

In the insolvency of a non grantor debtor, the creditor is an unsecured creditor with an unsecured claim against the non grantor debtor.

Otherwise, compensation for delay may deplete the assets available to unsecured creditors.

They can also, it adds, obtain unsecured bank loans for themselves and their friends.

Let me just say that every unsecured transaction is a good example of a prisoner's dilemma.

The insolvency law should establish the priority that may be accorded to post commencement finance, ensuring at least the payment of the post commencement finance provider ahead of ordinary unsecured creditors, including those unsecured creditors with administrative priority.

The extended web of finance as it existed in the summer of 2008 was the result of millions of calculations that the US government did, in fact, guarantee the unsecured debt of every very large bank and bank like entity in America.

Instead, they focused exclusively on US foreign debt, ignoring household debt (mortgage and consumer debt), public debt, business debt, and financial debt.

In this context, resolution means that a bank s managers are fired, shareholders are wiped out, and unsecured creditors can suffer losses.

When private borrowers default, bankruptcy courts supervise a bankruptcy or reorganization process through which even unsecured creditors can hope to recover something.

The law should provide that a security right that is effective against third parties has priority over the rights of unsecured creditors.

Debt sustainability and debt relief

B. External debt and debt relief

Losses are spreading from sub prime to near prime and prime mortgages, commercial mortgages, and unsecured consumer credit (credit cards, auto loans, student loans).

More debt relief encompassing more countries and more debt (including bilateral debt) is needed.

50. Separate disclosure should be made of any secured or unsecured borrowings, and a summary of the interest rates and repayment terms should be provided.

45 47 and 66) that ranks ahead of ordinary unsecured creditors and any statutory priorities, for example, taxes or social security claims. Suppliers of goods and services would only continue to supply those goods and services to the insolvency representative on credit if they had a reasonable expectation of payment ahead of pre commencement unsecured creditors.

Debt

Such a debt strategy should include debt cancellation.

Debt reduction should cover a greater proportion of the debt, in certain cases the total debt.

The debt strategy should include, among other things, a drastic reduction of debt and debt servicing.

B. External debt and debt relief . 27 32 10

Innovative forms of debt relief, including debt for equity swaps, debt for social development swaps, and debt for environment swaps, could be widely utilized.

Unsustainable private debt problems must be resolved by defaults, debt reductions, and conversion of debt into equity.

The resolution, moreover, calls for the treatment of multilateral debt to alleviate debt and debt service burdens.

External debt

External debt

Debt relief

External debt

What debt?

If orderly treatment of unsecured senior creditors requires a new cross border regime to close down insolvent European banks, such a regime should be implemented without delay.

The country simply cannot keep on piling debt upon debt.

We are not asking for debt forgiveness or debt cancellation.

Total concessional debt as a percentage of total external debt

But this is debt. 80 million of debt right here.

The debt restructuring measures had dealt primarily with commercial debt and debt servicing obligations to official bilateral creditors.

The debt relief measures had not benefited a large number of countries overburdened with debt repayment and debt servicing.

In their case, a resolution authority, in London or Washington, would take control of the parent company, remove senior management, and apportion losses to shareholders and unsecured creditors.

The demand for debt repayment confronts the philosophy of debt forgiveness.

Debt to private creditors as a percentage of total external debt

Multilateral debt accounted for 97 per cent of the total debt.