Forging the (Ir)Responsible Sovereign Creditor: The Sovereign Debt Paradigm & Possibilities of Absolute Responsibility

Abstract

This article addresses the ongoing mystery of sovereign creditor cooperation in situations where the sovereign debtor faces default on outstanding debts. Due to the paucity of reasonable legal grounds that justify the self-defeating conduct of a cooperative creditor, this article seeks to reframe this mystery in a philosophical realm. Specifically employing the Derridan concept of absolute responsibility and the Levinasian ethic of conduct grounded in the irresponsible, this article concludes that this persistence of creditor cooperation is indicative of a new paradigm of sustainable and ethical sovereign lending and borrowing practices.