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  • DarkCloud@lemmy.world
    39·
    4 months ago

    When you’re too questionable for the world bank - who regularly offers leveraged loans to dictators they know are going to embezzle the cash and flee, leaving whole countries destitute.

    …even those guys are like - “nah, Elon Musk clearly has a questionable character”.

    • NoIWontPickAName@kbin.earth
      39·
      4 months ago

      So what?

      What’s the world bank going to do if the countries decide not to pay back the loan?

      It’s just stupid for the countries to even pay it back

      • DarkCloud@lemmy.world
        16·
        4 months ago

        …a “leveraged loan” usually means there’s a contract to sell a natural resource for a very cheap price (far below the market rate) if the loan isn’t paid back. That’s the “leverage” that makes the loan (usually to an otherwise poor country) “good” in the eyes of the world bank.

        So that’s what happens. If they refuse to give up the goods, they’ll get down graded, possibly refused global banking services, or put on an embargo list… And they’ll probably arrange ownership of the mine/refinery/wells and have them secured with private security forces anyways.

    • DogPeePoo@lemm.ee
      6·
      4 months ago

      ”Probably in a couple of weeks… looking into it… [insert generic platitude…]”