Debt Default and Global Financial System

The speakers discuss the possibility of a country defaulting on IMF or World Bank debt and the potential consequences for the global financial system. They highlight the conflict between different systems of governance and suggest that the global authority may shift to the BRICS nations. The chapter concludes with the idea that changing the legal framework of the new global order could lead to significant haircuts for institutions like Wall Street, City of London, IMF, and World Bank.