The newly created Borrowers Platform aims to facilitate knowledge sharing and capacity building among debtor countries, while amplifying their voices in global financial circles. But at a time when the Club of creditors of the country of Paris is increasingly unable to act together, the Borrowers’ Platform must increase its ambitions.
BANGKOK—For seven decades, some of the world’s biggest official creditors have coordinated positions in negotiations with debtor nations struggling to repay. The Paris Club seeks not only to solve the debt for individual sovereigns, but also to shape the rules governing guarantees and conditions, especially by using the influence of the 22 permanent members of the International Monetary Fund. Now, world debt has created its own club. The question is whether the stated goals are ambitious enough.