Advanced International Borrowing And Debt Management Training Course

Introduction

In an increasingly volatile global financial landscape, effective management of international borrowing and public debt is paramount for national economic stability, sustainable development, and fiscal resilience. Mastering Advanced International Borrowing and Debt Management is absolutely critical for finance ministry officials, central bank professionals, public debt managers, financial advisors, and international development specialists seeking to navigate complex global capital markets, optimize borrowing strategies, and mitigate fiscal risks. This essential training course is meticulously designed to equip senior government finance officials, central bankers, treasury professionals, debt management office staff, public financial management experts, and development bank advisors with the specialized knowledge and practical skills required for conducting comprehensive debt sustainability analyses, structuring sophisticated international loan agreements, implementing robust risk management frameworks for public debt, developing effective debt resolution strategies, and leveraging advanced financial instruments for optimal borrowing outcomes. Participants will gain a comprehensive understanding of international capital markets dynamics, the nuances of sovereign credit ratings, the challenges of managing currency and interest rate exposures, and the critical role of sound debt management in fostering long-term fiscal health and economic growth. Our curriculum emphasizes critical analysis, current international best practices from leading financial institutions, and real-world case studies pertinent to complex debt management challenges, empowering you to confidently manage national debt portfolios.

This sovereign debt strategy and public finance optimization course is crucial for individuals and institutions striving to move beyond basic debt administration towards a proactive, strategically informed, and analytically robust approach to national financial governance. Mastering debt sustainability frameworks from the IMF and World Bank, implementing advanced hedging strategies for currency and interest rate risk, and understanding strategies for engaging with international creditors and financial markets are indispensable for mitigating fiscal crises, enhancing investor confidence, optimizing borrowing costs, and ultimately achieving significant advancements in national economic stability and creditworthiness. This program offers an unparalleled opportunity to elevate your expertise in strategic public debt management and international financial governance, positioning you for unparalleled success in shaping resilient national economies and driving significant long-term value creation through enhanced fiscal space, improved public investment capacity, and more robust and future-ready financial systems for the 21st century.

Target Audience

• Ministry of Finance Officials (Senior Level)
• Central Bank Professionals (Monetary Policy, Reserves Management)
• Public Debt Management Office Staff
• Treasury Officials & Public Financial Management Experts
• Financial Advisors to Governments
• Development Bank & International Financial Institution Staff
• Macroeconomic Policy Analysts

Course Objectives

• Master comprehensive debt sustainability analysis (DSA) frameworks and methodologies.
• Learn advanced techniques for structuring and negotiating international sovereign loan agreements.
• Develop proficiency in identifying, measuring, and mitigating public debt-related risks (market, credit, operational).
• Understand the dynamics of global capital markets and their impact on sovereign borrowing.
• Explore best practices in sovereign credit rating management and investor relations.
• Grasp advanced strategies for managing currency and interest rate exposures in debt portfolios.
• Learn about robust approaches to public debt restructuring and resolution in crisis scenarios.
• Identify the critical role of legal frameworks and institutional arrangements in effective debt management.
• Develop skills in utilizing advanced financial instruments for optimal borrowing and liability management.
• Understand the linkages between public debt, fiscal policy, monetary policy, and macroeconomic stability.
• Analyze ethical considerations and transparency in international borrowing and debt management.
• Drive the implementation of integrated debt management strategies aligned with national development goals.

Duration

10 Days

Course Content

Module 1. Advanced Debt Sustainability Analysis (DSA)

• Deconstructing the latest IMF/World Bank DSA framework
• Macroeconomic forecasting for debt sustainability projections
• Stress testing debt portfolios against various shocks
• Assessing fiscal space and debt carrying capacity
• Practical application of DSA tools and interpretation of results

Module 2. Global Capital Markets & Sovereign Borrowing

• Deep dive into international bond markets, syndicated loans, and bilateral financing
• Understanding investor behavior and market sentiment towards sovereign debt
• The role of investment banks and financial intermediaries in sovereign issuance
• Accessing different types of international capital: private, official, concessional
• Emerging market debt dynamics and specific considerations

Module 3. Structuring International Loan Agreements

• Key legal and financial clauses in sovereign loan and bond documentation
• Understanding covenants, default provisions, and cross-default clauses
• Negotiation strategies for favorable terms and conditions
• Best practices in debt contracting and managing contingent liabilities
• Analyzing different loan types: project finance, policy-based loans, green bonds

Module 4. Public Debt Risk Management Frameworks

• Comprehensive identification of public debt risks: market, credit, operational, refinancing, legal, reputational
• Developing a robust medium-term debt management strategy (MTDS)
• Quantitative risk analysis techniques for debt portfolios
• Establishing risk limits and control frameworks
• Implementing robust governance structures for risk management

Module 5. Sovereign Credit Ratings & Investor Relations

• Understanding the methodologies of major credit rating agencies (S&P, Moody's, Fitch)
• Factors influencing sovereign credit ratings: fiscal health, economic outlook, political stability
• Strategies for engaging with rating agencies and presenting national narratives
• Effective investor relations: roadshows, investor calls, transparency in reporting
• Managing perception and communicating sovereign credit strengths

Module 6. Advanced Hedging & Derivatives for Debt

• Utilizing financial derivatives for interest rate risk management (swaps, caps, floors)
• Managing currency risk exposure through hedging instruments (currency swaps, forwards)
• Understanding the legal and operational aspects of using derivatives in public debt
• Assessing the cost-benefit of hedging strategies
• Practical case studies of derivative use in sovereign debt

Module 7. Public Debt Restructuring & Resolution

• Triggers and indicators of sovereign debt distress and potential default
• Legal and economic considerations in debt restructuring scenarios
• Official sector frameworks for debt resolution (e.g., Paris Club, G20 Common Framework)
• Engaging with private creditors in debt workouts and collective action clauses
• Impact of debt restructuring on economic recovery and credit standing

Module 8. Institutional & Legal Frameworks for Debt

• Best practices for establishing an effective Debt Management Office (DMO)
• Legal mandates and operational autonomy of debt management entities
• Role of the central bank, ministry of finance, and other agencies in debt governance
• Strengthening legal frameworks for public debt issuance, guarantees, and resolution
• Transparency, accountability, and ethical considerations in debt management

Module 9. Debt Instruments & Market Access Strategies

• Issuing domestic and international bonds: benchmarks, pricing, and timing
• Utilizing diverse borrowing sources: multilateral, bilateral, commercial banks
• Developing domestic debt markets and their role in overall debt strategy
• Green bonds, social bonds, and other thematic instruments for sustainable finance
• Strategies for broadening investor base and diversifying funding sources

Module 10. Digital Transformation in Debt Management

• Leveraging technology for efficient debt recording, analysis, and reporting
• Use of blockchain and distributed ledger technology (DLT) in debt issuance
• Data analytics and AI for debt portfolio optimization and risk forecasting
• Cybersecurity best practices for sensitive debt management data
• Implementing modern Debt Management and Financial Analysis Systems (DMFAS)

Module 11. Contingent Liabilities & Fiscal Risk Management

• Identifying and quantifying contingent liabilities (e.g., SOE guarantees, PPPs)
• Developing frameworks for managing and mitigating fiscal risks from contingent liabilities
• Integrating contingent liability management into overall debt strategy
• Stress testing the budget for potential fiscal shocks
• Legal and contractual aspects of contingent liabilities

Module 12. Linkages: Debt, Fiscal, Monetary Policy

• Coherence between debt management, fiscal policy, and monetary policy objectives
• The role of debt management in supporting macroeconomic stability and growth
• Impact of debt levels on inflation, exchange rates, and interest rates
• Coordination mechanisms between DMOs, central banks, and finance ministries
• Policy options for creating fiscal space and reducing debt vulnerabilities

Module 13. Case Studies & Simulations in Advanced Debt Management

• In-depth analysis of recent sovereign debt crises and their resolutions
• Lessons learned from successful debt management strategies across different regions
• Interactive simulations for structuring a bond issuance, negotiating a loan, or conducting a debt swap
• Practical exercises in stress testing and risk analysis of debt portfolios
• Developing customized debt management solutions for specific country contexts

Module 14. Future Trends & Challenges in Global Debt

• Impact of global economic shifts, geopolitical events, and climate change on sovereign debt
• Rising global debt levels and the risk of widespread debt distress
• New financing mechanisms and innovative debt instruments
• The evolving role of international financial institutions in debt governance
• Strategies for building resilient and sustainable public debt portfolios for the future

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 10 working days before commencement of the training.