The Debt Wall – Huge Public Debts, but Opposite Destinies Between Developed and Emerging Countries

The situation in the emerging countries is worrying, but this should not impact the global financial system more than that.

Faced with the COVID-19 pandemic that took hold of the world in March 2020, all countries responded in the same way. Developed and emerging countries, and even the poorest among them, have applied the well-known recipe: boosting their economies by increasing a public deficit financed by debt.

The effects of the crisis have therefore been partially or ful…