How debt restructuring, rebuilt reserves and a fiscal turnaround are reshaping the country’s credit fundamentals — and what it means for emerging market debt investors
The reform plus fiscal package is genuinely large and potentially a regime change, but not yet an unqualified “buy Germany/Europe” signal. The principal upside risk is a confidence-led private capex cycle. The key downside risk is implementation failures and higher bond yields, which could turn a productive investment programme into a less equity-friendly fiscal expansion.