Odious Debt, Adverse Creditors, and the Democratic Ideal

Abstract

This essay explores the sanctity of democratic governance and the related principles that animate the doctrine of odious debt for their importance in understanding what is wrong with sovereign debt today. In the context of the Greek debt and human rights crisis, we see how odious debt is applicable to debt incurred not only by dictators but also by democracies and how, in the latter circumstances, international creditors are implicated in ‘hostile’ acts against the demos. We conclude with suggestions on the remediation of odious debt today.