As part of their Annual Meeting, World Bank and IMF treat observers to a wealth of data, analyses and projections. The focus is on climate finance, debt sustainability of Low Income Countries (LICs) and, preferably, some combination of the two.

However, currency risk is not in focus at all. In a Financial Times op-ed, Ruurd Brouwer, CEO of the The Currency Exchange Fund (TCX), argues that this is a mistake, a mistake that could prove to be very costly: currency risk is real and has been identified as a key driver of government debt accumulation in LICs in the last century.

Please read the article here, as published by the Financial Times. You can also read a PDF version here.