Deterioration in external financial position of countries

Name(s): 
Deterioration in external payments position of countries
Nature 
Much of the deterioration in the payments position has been due to the exceptionally severe and long recession and the rise of interest rates to unprecedented levels. Such deterioration not only reduces the availability of external savings and drains off domestically generated savings, in a number of countries it also adversely affects domestic savings performance.
Broader 
External debt crisis
Inadequate domestic savings
Narrower 
External national budget deficit
Inadequate investment performance
Deteriorating terms of international financial loans to vulnerable countries
Aggravates 
Risk of capital investment [in 5 loops]
Limited availability of loans [in 7 loops]
Decline in public sector savings [in 1 loop]
Social hardships of economic reform [in 5 loops]
Excessive anxiety on overseas lending [in 8 loops]
Burden of servicing foreign public debt [in 22 loops]
Aggravated by 
Decline in export credits
Speculative flight of capital
Excessive external trade deficits
Net outflow of capital from countries
Deterioration of international terms of trade
Inconsiderate choice of payment times by creditors
Value(s) 
Position
Deterioration
Overpayment
Type 
(D) Detailed problems