Isn’t the country run by a President that holds a PHD in economics?
The Philippines’ finances are in worse shape than Argentina’s before the South American nation defaulted on its bonds in December 2001, Bloomberg reported.
The government’s debt, now at $75 billion, was equivalent to 525 percent of its revenue last year, almost double the ratio for Argentina before its $95 billion default, a senior sovereign analyst at Moody’s said in an interview,
The government’s payment of $22.3 billion of foreign- currency bonds will hinge on its ability to maintain a surplus in the current account, the broadest measure of money flows across borders, and a ‘fairly comfortable level of foreign-exchange reserves, the analyst said.
The Philippines, the biggest overseas debt seller in Asia, is selling bonds with longer maturities to spread out payments on its record $75 billion in debt. It sold 25- year bonds in January, the longest maturity allowed by the nation’s law, for the first time since 2000.
Guess she should have changed her major to “Competence 101.”