From: Investopedia (suggest to read it all)
“A nation’s debt is considered odious debt when government leaders use borrowed funds in ways that do not benefit its citizens, and to the contrary, often oppress them. Some legal scholars argue that, for moral reasons, these debts should not have to be repaid. Many believe countries doing the lending must have known, or should have known, of the oppressive conditions upon offering the credit.”
The term ‘Odious Debt’ is one that will come to prominence in the next few years. As the established political parties fall into disrepute for having overseen this mess, new parties will form and be elected to government. They will resent the humungous debts inherited from their predecessors – money that was borrowed not in the interests of the people, but in the vain attempt to prop up the status quo.
Eventually, these new governments will be forced to repudiate the debts and Odious Debt is highly likely to be the vehicle to make this morally palatable. The repudiation of the debt means the repudiation of the fiat debt notes. Most will attempt to introduce new fiat monies, but after such an epic collapse of all the prior ones, it just won’t be credible.
Gold will be the only workable option.
It will be a hard road, but the journey to recovery can then begin.
Remember Odious Debt; you will hear more of it.