Private banks now have a playbook for restructuring sovereign debt

The Global Sovereign Debt Roundtable has helped create a new guide for restructuring loans from private banks to countries. This guide gives banks a voluntary, non-binding reference for negotiating with countries that owe them money.

For years, when a country couldn't pay its debts, the process for restructuring loans from private banks was messy and slow. This new guide aims to make those negotiations more predictable. It means countries and their private lenders now have a shared reference point, which could speed up debt relief.