With reference to the 2030 Agenda for Sustainable Development, the study examines the impact of sovereign debt on inequality, finding that: 1) a high level of debt leads to worsening inequality within the state; 2) the current high debt levels in low-and middle-income countries widen the existing gap with high-income countries. The study therefore highlights the need for a new debt restructuring mechanism that, combined with sustainable financing, would support the achievement of the Sustainable Development Goals
The Impact of Sovereign Debt on Inequality
Annamaria Viterbo
2025-01-01
Abstract
With reference to the 2030 Agenda for Sustainable Development, the study examines the impact of sovereign debt on inequality, finding that: 1) a high level of debt leads to worsening inequality within the state; 2) the current high debt levels in low-and middle-income countries widen the existing gap with high-income countries. The study therefore highlights the need for a new debt restructuring mechanism that, combined with sustainable financing, would support the achievement of the Sustainable Development Goals
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