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A comment on China Is Hunting for Foreign Buyers for Its Sovereign Debt. Parent comment

Re:China Is Hunting for Foreign Buyers for Its Sovereign Debt by nradov on Friday January 04, 2019 @02:45AM (#18822583)
You're right about the level of political risk. But even when there's a revolution or secession, the successor state is still legally liable for the debt. So investors might still get some of their money back.
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Re:China Is Hunting for Foreign Buyers for Its Sovereign Debt by beatgammit on Sunday January 06, 2019 @11:26AM (#18839044)
Maybe, but they'll likely default. Revolutions are messy and often result in a poorer country. How can a country's government repay its debts when the country is rebuilding? Look at post-WW1 as an example of what could happen if they're forced to pay those debts.

Even if they do get their money back, it'll be late. Who wants that kind of risk?

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