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ERIC Number: ED331370
Record Type: Non-Journal
Publication Date: 1990
Pages: 12
Abstractor: N/A
Reference Count: N/A
Latin American Debt: Opportunities for Universities.
Garg, Ramesh C.
The debt crisis of the lesser developed countries (LDCs) may provide opportunities for educational institutions. Through debt-for-education programs, a part of the huge debt load can be channelled into financing various educational programs sponsored by U.S. higher education institutions. Private commercial banks and multinational corporations are the two major available sources of acquiring debt or local currency which can be used to finance various educational programs. U.S. educational institutions desirous of acquiring local currency from foreign debt or blocked funds to support educational programs in debtor countries may do so through purchasing debt in secondary markets, through debt-for-equity swaps, or debt donations. In fact, some commercial banks involved in debt-for-equity conversion programs may be willing to either sell or donate part of their Latin American debt to universities. For the program to be successful, it must be mutually beneficial to the lending banks, the debtor countries, and universities. Universities may be the major beneficiaries of debt for education programs since access to cheaper local currencies would enable them to extend their limited resources to develop international programs in various fields including faculty business, languages, culture, and international student exchange. Includes four references. (LPT)
Publication Type: Opinion Papers
Education Level: N/A
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: N/A