Study On The Legal Problems In Sovereign Debt Restructuring

Sovereign debt crisis refers to crisis of a national government breaking contract for failing to pay for debt.In history,sovereign debt crisis happen for four times,which includes 1980s‘Latin American debt crisis,Argentina debt crisis in 2001,Dubai debt crisis in 2009 and Greece debt crisis in 2010.All about these debt crisis share many similarities,such as mass loans,high public finance expenditure,sharp decrease of tax income,fragile economic structure,fixed currency rate adopted,deteriorating environment.Moreover,debt crisis cause by those countries has spread worldwide influence.Currently,sovereign debt crisis happen frequently,severely breaking the stability of world finance and becoming a barrier of world economy recovery,which can be regarded as the main threat to world economy.As to what measures can be taken to solve this problem,international society does not have an unified standard.No matter what the country solves the problem by itself at the very beginning,or law frame about the restructuring of sovereign debt raised by International Monetary Fund and United Nation,these ideas are primary conceptions but not specific and practical solutions.In 2016 Shanghai Government Report,countries from G20 announce to contribute to build a continual debt-developing framework and help to promote the restructure of sovereign deb.In the subsequent Chengdu Government Report,every country considers we should promote the continual finance practice and to optimize the debt restructure.Chengdu Government Report expresses its' support to Paris Club and it will be an important and positive platform for official debt restructuring,discussing and seeking a series of solutions.As the major international official bilateral debt-restructuring platform,a series discussion of sovereign debt can be discussed on this platform.With the development of China,Chinese enterprise set up business abroad and investment at abroad increases.At quarter one of 2016,the finance asset in China has made historical record,exceeding 60000 trillion us dollar,which means debt restructuring is getting more important to us as long as related debt crisis happens.Under this background,this paper aims at analyzing whether sovereign debt crisis will happen at China by studying causes and measures taken in other sovereign countries,and by leaning supervision experience to figure out the improvement possibilities of institution reform.This paper can be divided into four passages.First passage mainly explains definition and traditional solution of sovereign debt,so as to introduce sovereign debt and its developing history.Secord passage explains the current statues and measures taken of sovereign debt crisis.It discusses about law and contract method,further introduces the contract as well as voluntary method,both advantages and disadvantages will be illustrated.Third passage mainly explains new measures related international organizations take to solve sovereign debt crisis,including International Monetary Fund and United Nation,which has been tried with different measures.International Monetary Fund chooses debt-restructuring organism while Unite Nations' law struction on sovereign debt crisis.Fourth passage illustrates any debts we face and point out that current debt actually has not lead to a national sovereign debt crisis,but we should pay attention to.The issue of Budge Ac supplies legal foundation for solving local debts,contributing to solve local debt crisis.