We have updated our Terms of Use.
Please read our new Privacy Statement before continuing.

Benevolent financial innovation

20 November 2013 By Neil Unmack

Banks issue loss-absorbing contingent capital, so why not sovereigns? A Bank of England proposal to make government debt extendible in bad times would render crises easier and rarer. The system would be hard to set up today, particularly in Europe, but the idea is worth backing.

This content is for Subscribers only

 

Email a friend

Please complete the form below.

Required fields *

*
*
*

(Separate multiple email addresses with commas)