The Plan also encourages the IMF to continue its important work to find some mechanisms for sovereign debt restructuring analogous to domestic corporate bankruptcy procedures, such as Chapter 11 in the United States and the Companies' Creditors Arrangement Act (CCAA) in Canada.
The G-7 countries have pledged to work with borrowers and creditors to make sure that these ideas can be effectively put into practice. Clearly, a lot more needs to be done, including work on operational and legal issues. But let us not lose sight of why this work is important.