As a result, they are forcing some countries to pay risk premia that are not fully justified by underlying fundamentals, making those destructive scenarios self-fulfilling. But this aspect of debt sustainability can be addressed by simply changing perceptions. Here, the ECB’s recent announcement of Outright Monetary Transactions should play a supportive role.
This seminar is motivated by the recent discovery of oil in commercially exploitable quantities along the Albertine Graben in Uganda; discoveries which have understandably raised public expectations as to the benefits which these resources may generate for Ugandans.