The International. Monetary Fund (IMF) on Wednesday said that the external debts of the emerging and frontier economies have risen to 160 percent of exports, on average up from 100 percent in 2008.
Tobias Adrian, financial counsellor, IMF, disclosed this while presenting the Global Financial Stability Report at the ongoing IMF/World Bank annual meetings in Washington DC.
He said a sharp tightening in financial conditions and higher borrowing costs would make it harder for them to service their debts.
“External debt is rising among emerging and frontier economies, as they attract capital, flows from advanced economies, where interest rates are lower,” Adrian said.
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