Developing Countries

  • Many have large amounts of foreign debt
    • Debt in hard currencies ($¥€£)
    • Higher inflation rates
      • Repayments increase in real terms
      • 73 countries now at risk of default
  • Reliant on hard currency for oil and gas
  • Many have experienced exploitative contracts
    • Benefits captured by foreign contractors
    • Limited help to local economy


  • Three types of debt holder:
    • Multilateral Development Banks (MDBs)
    • Other Countries
    • Private Banks
  • Prefer to give loans in hard currencies ($¥€£)
    • Benefits the lender
  • Experts at assessing currency risk
  • Large amounts of existing debt bad or doubtful
    • “Doubtful” – debt is worth less than it was
    • “Bad” – debt is worthless
  • Banks must account for asset values

Wealthy Nations

  • Largely responsible for Climate & Biodiversity Crises
  • Keen to protect their own economies
  • Willing to spend to address Climate Change
  • Want their companies to become sustainable

Large Companies

  • Able to operate at scale, globally
  • Must maximise shareholder value
    • Seek new markets
    • Contracts must be profitable
    • Customers must be able to pay
    • Minimise currency and default risk

World Bank

  • Largest provider of development funding
  • Mission: to reduce poverty and inequality
  • Variety of funding sources
  • Decades of complex projects