Coronavirus Pandemic as a Challenge in Debt Sphere

The aim of the study is to carry out analysis of the coronavirus pandemic as a challenge in debt sphere and to develop forecasts regarding debts in the global economy, as well as some recommendations, connected with debt management. The trend in debts’ dynamics such as simultaneous increase in volume of advanced and developing countries’ debts is analyzed. Risks in debt sphere are detected, including contingent liabilities, increases in debt servicing costs in developing countries and problems of refinancing. Vicious circle of different types of debt (public and private) is revealed. The paper considers the modern problems with debt relief. It was shown that current situation in terms of the prospects of the world economy, structure of debts and specifics related to creditors complicates the process of debt restructuring. Some recommendations for more efficient management of debts’ presented in the paper are as follows: economic growth as main provision for deleveraging; increase in accountability and transparency of all types of debt; full coverage of internal and external risks; activization of the usage of new financial instruments; improvements in regulation, aimed at the participation of private creditors in debt settlement