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Sovereign in sentence

1399 examples of Sovereign in a sentence

Only then would a sovereign Palestinian state be able to live in peace alongside Israel.
High levels of sovereign debt, together with the behavior of parts of the financial sector, have amplified the crisis in the eurozone and raised important issues of confidence that now require a systemic answer.
The link between sovereign debt and bank debt has to be broken once and for all.
China’s government is doing itself a disservice by demanding that Hong Kong’s citizens bow before their sovereign, while blaming “outside hostile forces” for spurring some kind of unconstitutional rebellion.
Because financial markets failed to recognize distinctions in risk among eurozone countries, interest rates on sovereign bonds did not reflect excessive borrowing.
Greece’s confession in 2010 that it had significantly understated its fiscal deficit was a wake-up call to the financial markets, causing interest rates on sovereign debt to rise substantially in several eurozone countries.
That analysis should also recognize the distinction between real (inflation-adjusted) deficits and the nominal deficit increase that would result if higher inflation caused sovereign borrowing costs to rise.
That means putting together a package that responds to Germany’s priorities – namely, ensuring fiscal stability and securing limits on bank holdings of sovereign debt – while helping to ease the burden on Italy of guarding the EU’s external border and admitting refugees.
Because many banks hold a large volume of eurozone government debt, the results will depend very much on how the ECB assesses sovereign risk.
A truly sovereign Iraq might well tell the US to withdraw from the country.
How to Default on Sovereign DebtITHACA – The financial brinkmanship over Greece’s debts has raised the question of whether (or when) the country will default.
As Greek officials consider their options, they would do well to bear in mind that there are better and worse ways to default on sovereign debt – especially given countries’ desire to reestablish their creditworthiness as soon as possible.
More likely than not, sovereign debtors will have to interact with the same creditors and international actors again.
As a result, fear could become a self-fulfilling prophecy: following a run by investors on all other sovereign debtors in the union, fiscal transfers would become inevitable in order to rescue overextended – for example, German – banks that have highly risky loan portfolios.
Thus, if reform on the eurozone’s periphery succeeds, both these economies and core countries will suffer from decreasing aggregate demand; if reform fails, either the deficits will continue to be financed, leading to further accumulation of external debt, or the entire eurozone will fall into depression, with sovereign debtors eventually defaulting on their liabilities.
The ECB could deal with the other driving force, the lack of financing for sovereign debt, by lowering its discount rate, encouraging distressed governments to issue treasury bills, and encouraging the banks to subscribe (an idea I owe to Tommaso Padoa-Schioppa).
I pressed newly appointed Finance Minister Lou Jiwei on this point, suggesting that China deploy some of its excess foreign-exchange reserves to fund such an effort – the same tactic used to provide a $200 billion start-up injection for the China Investment Corporation, the sovereign wealth fund that he ran for the previous five and a half years.
That should have set off alarms bells in India, given China’s claims on large swathes of Indian sovereign territory, but there is no sign yet that anyone has noticed.
Indeed, during the ongoing crisis, Poland has taken a firm stand: no one has the right to deny a European country its sovereign decision about its relationship with Europe.
The alternative for a fully sovereign Scotland would be to continue using the pound without retaining any influence over interest rates or the exchange rate.
The interest-rate premium that the market would inevitably demand from a young sovereign like Scotland could be minimized by issuing debt in sterling, thereby protecting investors from additional devaluation risk.
But a sovereign Scottish government might try to negotiate an exemption to this rule – and, in so doing, join the tide of other European countries seeking a way out of the great blunder that Europe’s monetary union has turned out to be.
Nowotny, the president of the National Bank of Austria, suggested that the European Stability Mechanism (ESM) might (if the German Constitutional Court allows it to come into existence) be given a banking license, which would allow it to borrow from the ECB and greatly expand its ability to purchase eurozone sovereign bonds.
Draghi’s statement reprised the rationale used by his predecessor, Jean-Claude Trichet, to justify ECB purchases of eurozone members’ sovereign debt.
A better rule for the ECB would be to conduct open-market operations by buying and selling a “neutral basket” of sovereign bonds, with each country’s share in the basket determined by its share in the ECB’s capital.
The ECB’s bond purchases would become as similar to the open-market operations of the United States Federal Reserve and the Bank of England as is possible in the absence of a single eurozone sovereign government.
By contrast, focusing potential ECB purchases on the sovereign debt of those countries with high interest rates would have serious adverse effects.
An ECB policy that artificially reduces their sovereign borrowing costs would make these steps even more politically difficult.
That has now ended, because bond investors no longer treat all eurozone sovereign debt as equal.
Moreover, because the ECB cannot simply buy sovereign bonds without regard for individual governments’ fiscal policies, it risks finding itself in the politically dangerous position of deciding whether a country’s fiscal actions are tough enough to be rewarded with lower interest rates.
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