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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Abstract Elaborating on Pasinetti (1998), the`Geometry of Debt Sustainability' GDS represents a simple analytical tool for the analysis of the long-run sustainability of foreign debt. GDS provides a simple analysis of three aspects of debt sustainability. It points up how the`structural' aspect NICA, the non-interest current account is closely interlinked with the purely`nancial' aspect. The paper focuses on low-income countries, LICs, which face several daunting tasks at once: economic growth, human development and regular debt service. Therefore GDS is also used to analyse the`human development' aspect of debt sustainability. By considering the three aspects together it emerges that there might be a very stringent trade-o between regular debt service and human development expenditures. All the more so because most LICs suer from structural NICA decits and GDS highlights the fact its improvement is a necessary condition to achieve long-run debt sustainability. However, export diversication and the building of stronger trading capacities take time. GDS shows why both debt cancellation and additional aid are necessary to give indebted low-income economies a chance to improve both human development and long-run economic viability. JEL classication numbers: E60, H60, O11 Terms of use: Documents in

Unilateral transfers, and notably remittances,