International Financial Control and Sovereign Risk

Abstract

The aim of this chapter is to explore the impact of IFC over sovereign risk of each country in a comparative and analytical framework and to provide a long-term picture of the evolution of sovereign risk in the Ottoman Empire, Egypt, Serbia and Greece. As presented in previous chapters in detail, the administration of each IFC and their policies in host countries showed significant variation. The changing degrees of infringement on sovereignty implied disparities in introducing monetary reforms, establishing international trade links and supervising public finances among other things. Although there seems to be a consensus in the recent historiography that IFC had a positive impact on the sovereign risk of debtor countries, the differences amongst the cases has never been addressed and discussed systematically.