International Financial Crises: Efforts to Anticipate, Avoid, and Resolve Sovereign Crises

Pursuant to a congressional request, GAO reviewed initiatives and proposals to anticipate, avoid, and resolve future sovereign financial crises that might pose a threat to the international financial system, focusing on: (1) capital market and other mechanisms that are used to anticipate, avoid, and resolve sovereign financial crises as well as any limitations of these mechanisms; (2) initiatives that international financial institutions and others are developing to improve anticipation and avoidance mechanisms; and (3) initiatives and proposals to improve methods of resolving sovereign financial crises.